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By P J. Willems, B J. Junor

Blackwater Mine is in the central-southern Bowen Basin, immediately south of the township of Blackwater on the Capricorn Highway. The current open cut operation extracts coal from three main seams, designated Top, Middle and Lower, in the Late Permian Rangal Coal Measures cropping out on the eastern flank of the Comet Ridge. Complex geological structures, dominated by E-W normal faults and N-S reverse faults, have significant detrimental effects on coal mining operations. Historical exploration before 2010 involved several types of drilling only to understand structure, coal quality and washability. Hence, although drilling data was combined with limited pit mapping and observation, unknown structures were still often encountered during excavations and led to mining surprises. In 2010 BHP completed 200-line km of closely spaced 2D seismic survey to capture gross and detailed structures followed by fit for purpose structural drilling to confirm major structures in the northern part of the mine. In 2018 a high density 9.2 km2 3D seismic survey was completed in the southern part of the mine. Subsequently, a 17.2 km2 survey was completed in 2020 to cover the northern active mining area. It allowed geoscientists to successfully map previously unknown major faults and seam splits, which could potentially impact the mineability of the area. It is important to note, that faults interpreted using modern high-density 3D data can be interpreted with dramatically higher confidence in the fault dip and azimuth orientation in comparison to the legacy 2D data. Along with targeted drilling, pit mapping and structural interpretation, the outcome adds value to mine planning and operations. This paper outlines recent successful seismic 3D data acquisition and interpretation. In detail, the paper presents case studies on how the data can be incorporated into a structural model to improve geological knowledge, enable geotechnical assessment, and support safe and efficient coal mining in a large and structurally complex mine.

Mar 22, 2022

By A A. Puhalovich

The placement of chemically reactive mine wastes in mined out pits (æpit backfillingÆ) is increasingly seen by industry as best practice to manage long-term environmental risks. This is primarily because leaving wastes at the surface, or allowing pit lakes to develop, can result in unacceptable environmental risks. The costs and practicality of mitigation options such as installation of covers and community expectations of landform re-construction to achieve a post-mining, beneficial land use are also important drivers for pit backfilling.Pit backfilling can significantly reduce the post-closure risks to receiving environments, by minimising seepage due to tailings, acid/solute generating waste rock and/or salts derived from mine water treatment. Environmental risks are often highest where wastes are located close to the ground surface, due to relatively high rates of groundwater movement in near-surface aquifers and/or failure of engineered structures due to rainfall/erosion processes. Placement of these wastes at significant depth in pits, subject to mine planning and environmental assessment, can address these risks by increasing the path length and resistance from contaminant source to receptor, thus enhancing encapsulation of the wastes.Pit backfilling can also be cost-effective for mining companies. This is because existing pits are developed on the basis of an economic return and thus provide an opportunity to store tailings in an existing æengineered structureÆ at little or no incremental cost when compared with building and operating a new tailings or waste rock storage facility, often encompassing complex cover/drainage management systems. Key issues for consideration are mine planning, the long-term geotechnical behaviour of the wastes (eg consolidation of tailings which leads to release of acid/solutes in tailings porewaters), seepage rates to downstream receptors/agreed end point criteria and potential resource sterilisation. Internationally, mine closure guidelines are also showing a greater recognition of pit backfilling in the context of allowing mining companies to meet agreed post-closure land use objectives.In summary, pit backfilling can enhance the encapsulation of chemically reactive mine wastes and environment protection, and with agreement on post-closure beneficial land use, can also help to deliver post-closure benefits to communities.CITATION:Puhalovich, A A, 2012. Pit backfilling - Managing chemically reactive mine wastes and achieving rehabilitation objectives, in Proceedings Life-of-Mine 2012 , pp 279-286 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 10, 2012

By Connell JE

The Worthing Mine near Hallett Cove. 20 km southwest of the cite of Adelaide, belongs to Aus- tralia's first mining era, which took place in South Australia between 1841 and 1851 (Figure 1). Oper- ations began in 1849 only six years after the com- mencement of metal mining in Australia at Glen Osmond. Although not as historically significant as Glen Osmond (1841), or the much larger copper mines of Kapunda (1844) or Burra (1845) its importance lies with its Cornish enginehouse and chimney. The Worthing enginehouse, built in 1851-1852 is the oldest remaining in Australia and certainly the most significant relic of Australia's first mining era. Six other stone enginehouses were built during that period: at Kapunda in 1848 and 1850: at Burra in 1849, 1850 and 1851; and at Tungkillo in 1849. All of these houses have long since dis- appeared although the foundations of one (Kapunda, 1850) still remain. The significance of the Worthing site is enhanced by its magnificant environmental setting in the bare, steep valley of Field River. Currently (1986) the Worthing Mine is the only site within the City of Marion which is on the Register of State Heritage Items. The site is also included in the Classified List of the National Trust of South Australia and on the Register of the National Estate.

Jan 1, 1987

By C K. Suzuki, J A. Yanaguizawa, D M. F de Santana, L R. P Leite, A H. Shinohara

In the present work, the microstructure and mechanical properties of structural mortar from glass insulators were studied by X-ray fluorescence, X-ray diffraction, infrared spectroscopy, microhardness and compression testings. The investigated glass insulators were manufactured between the 1960 and 1990 years and had been used in 230 kV transmission lines. The results evidenced that the structural mortar of glass insulator was replaced from Portland to aluminous cement along the years. The crystalline phases of the mortar were identified and mechanical properties were correlated.

Jan 1, 2008

By G Booth

Whilst communications systems in the mining industry have evolved over the years, the premise remains consistent that reliable communication is vital for safety and operational efficiency. TodayÆs open pit mines are benefiting from advanced developmental efforts based on mesh networking hardware and software technology. This paper highlights Rajant CorporationÆs adaptation of technology, originally developed for the defence and first responder industries, to provide wireless network connectivity in open pit mining applications. Featured is the large-scale deployment of over 300 mobile, meshing access points in the Bingham Canyon Copper mine near Salt Lake City, Utah, the worldÆs largest open pit copper mine. Many companies have positioned themselves, their technology and their product line in the arena of rugged outdoor wireless broadband mesh networking infrastructure. However, Rajant Corporation has combined specialised command and control software and portable networks which offer network extensibility and redundancy that are not available in any other networking solution. Rajant CorporationÆs BreadCrumb« offers unique traits in portability and non-line-of-site networking nodes which intelligently route and broadcast in standard 802.11 protocol. The advantage of RajantÆs solution is especially valuable for users needing equipment moved easily and rapidly into and out of the theatre of operations with uninterrupted network availability. The main differentiators that set the BreadCrumb« network apart from the competitors are mobility (continuous availability), simplicity, ability to properly load balance and power options. In 2007, RajantÆs BreadCrumb« wireless mesh system was selected by the Kennecott Utah Copper Corporation (KUCC), a wholly owned subsidiary of Rio Tinto, as its primary communications platform for operations within the Bingham Canyon Copper mine, the worldÆs largest open pit copper mine. The Rajant BreadCrumb« technology enables KUCC to gain additional operational efficiencies by tracking, monitoring and managing its copper mining operations. The primary goal of using the BreadCrumb« wireless mesh system Kennecott was to streamline its complex mining operations. KUCC required a high number of moving wireless nodes for improving mine monitoring and control. The Rajant InstaMesh« software running on the wireless BreadCrumb« units connects hundreds of devices to each other while rapidly transporting critical operational data. Kennecott has successfully implemented a large number of BreadCrumb« radios in an interconnected network that allows loader trucks, shovels, pumps, laptops and other production equipment to communicate with each other in real-time. These systems are a mix of secure access nodes that enable data and voice communications across a meshed, self-healing network for fleet dispatch, health monitoring and other critical mining applications. Many of the devices that require wireless communications are moving at all times throughout the wireless mining infrastructure. The BreadCrumb« nodes rapidly adapt to any changes in the network topology, assuring that IP traffic uptime and bandwidth are maximised. The installation layout and data network specifics, as well as maps and data network efficiencies will be detailed in the paper.

Jan 1, 2008

By J Hartnett, B Tarrant, A Rayner, D O’Toole, P Davies

Since 2009, the Northern Territory and Australian governments have been working under a national partnership arrangement to inform a rehabilitation plan for the former Rum Jungle uranium mine. Part of the rehabilitation strategy is to backfill a flooded former pit (Pit), which extends down to 100m below the current pit lake surface and was historically partially backfilled with uranium tailings. It is proposed to utilise the remaining pit volume below water level to sub-aqueously store Potentially Acid Forming (PAF-I) waste rock which currently occupies large stockpiles across the site. The rehabilitation design and planning process undertaken to develop a strategy commensurate to project objectives and construction constraints involved the establishment of key constraints derived from the analysis of historic data sources and preliminary design efforts. Tabled strategies were balanced against dependent project tasks and project objectives, especially surrounding minimising disturbance of highly contaminated materials within the Pit. Ideas were developed in conjunction with industry input and review of case histories to develop a remediation solution that is constructible within the project timeframe and constraints.

Jul 1, 2021

By G Cooper

The Société Nationale Industriel et Minière (SNIM) is expanding its ore and concentrate production capacity in Mauritania, West Africa. This government-controlled mining company has been in production since 1963 and currently exports some 12 Mt/a.SNIM is presently doubling its magnetite concentrate production at the Guelb el Rhein mine. An existing processing line will have a second parallel production line of 4 Mt/a added. The mine is located some 600 km inland from the Atlantic coast in the heart of the Sahara Desert.The metallurgy of the ore is reasonably straightforward. It is a magnetite banded iron formation that is amenable to magnetic separation. While the existing plant uses semi-autogenous grinding and dry magnetic separation, the new processing line will use HPGRs, dry magnetic separation, and a wet milling and magnetic separation circuit for treating middlings.The process choices refl ect the scarcity of water in the region, the high cost of locally generated power and the operating experience and preferences of SNIM. Dust control in the desert environment has been a particular challenge.The metallurgical design aspects as well as the infl uence of the environmental and commercial aspects of the project are presented.

Jul 11, 2011

By W Baguley

Attritioning has been a method of improving mineral extraction for over 60 years, however it is only recently that an understanding of the mechanism employed and the improvement in efficiency that have been achieved.The paper will discuss these improvements and how to overcome the problems that have been raised. At present there is a dearth of information on the correct design and operation of these machines.The paper will address these issues as well as fluid on the Zeta potential, micro shear, retention residence time and pilot plant operation.A study on the hydrodynamics of attritioner operation has been identified and will be discussed.Surface chemistry, clean lines of attrition material and the treatment of fines significant advances in the understanding of attritioning highlighted.CITATION:Baguley, W, 2013. Attrition scrubbers, in Proceedings MetPlant 2013 , pp 229-246 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 15, 2013

By J Robinson, L D’Uva

"The Gold Fields group and Gekko Systems have successfully worked together on multiple projects, including at the St Ives, Agnew and Granny Smith operations in Western Australia, and the Damang operations in Ghana, with gravity recovery design, technology installation and optimisation the key driver on each occasion.In 2014, Gold Fields Australia identified an opportunity to challenge the historical thinking at Granny Smith and reassessed the benefit of upfront gravity gold recovery. The historical approach had been to employ gravity on the tailings stream of the carbon-in-pulp (CIP) circuit, recovering sulfide minerals into a concentrate from spiral concentrators for further liberation of gold via a regrind circuit.Gekko was engaged to assess the implementation of a gravity circuit within the grinding area, and to perform a comprehensive gravity recoverable gold test program. Test data was fed into the AMIRA P420 BCC Gravity Model to confirm the gravity recovery potential of the ore, and for process design basis generation. Height, space and capital limitations proved to be a design challenge. However, collaborative learnings throughout the project ensured the design and operation of a reliable and economic gravity gold circuit. Ultimately, the Granny Smith gravity circuit was a success, satisfying all the project objectives and yielding consistent, measurable benefits. On average, the gravity circuit recovers 33 per cent of total gold, resulting in an increase to overall gold recovery by 0.7 per cent.This paper highlights the key project drivers for Gold Fields, and the development of the Granny Smith free gold gravity circuit. It details application of test work and modelling, and the challenges and learnings encountered during the design, installation and commissioning stages. This paper seeks to demonstrate that continuous improvement in a long standing operation can be beneficial to overall circuit flexibility and increased ounce production.Citation:D'Uva, L, Robinson, J and Bell, T, 2016. Defying Gravity - Brownfield Continuous Improvement, in Proceedings 13th AusIMM Mill Operators’ Conference 2016, pp 135–144 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Oct 10, 2016

By T Soares, P Esteves, C Senna, V Souto, E Dias

Steinert provides a wide portfolio of Sensor Based Sorting (SBS) technologies, including the possibility to combine different sensor data in the development of the separation applications. This multi sensor approach provides a larger applicability and extensive flexibility for the technology. This effect is emphasized for mining applications, once every ore body presents its own features that can also comprise a large material variability. In this sense, every sorting application is customized and comprises a personalized solution. This means each project development includes a test work stage that approaches from the project discussion, test definition, up to test outcomes and processing development. In relation to very complex and large projects, a sorting pilot scale plant has become a crescent tendency. By having a pilot plant stage can represent a chance to test larger amounts of material from different mining areas, different mining projects, such as to consider different processing targets and application approaches. Based on that, a better understanding about the technology application can guide a more assertive development of large and complex ore sorting projects. The aim of this paper is to provide information about the applicability of the Steinert multi sensor technology at different pilot plants in South America. It consists in a compilation of laboratory test results, plant design and operational results. For that, a chromite, an IOCG deposit and a sulphide gold ore projects are presented. Additionally, the paper discusses the application of different sensor technologies combinations such as various processing targets, thus providing a wider understanding about sorting applications and flexibility.

Nov 10, 2020

By E Villaescusa, A Kusui, R Talebi, R Hassell, C Arcaro

Northern Star Resources (NSR) operates several seismically active mines as part of its Kalgoorlie Operations. In order to successfully continue mining at depth in increasing stress conditions, strategies need to be developed to reduce, control and manage the impact of seismicity causing damage to the rock mass. Consequently, a research partnership was developed with the WA School of Mines (WASM) through Mining3. The main aim of the project was to develop appropriate ground support standards that could withstand the expected dynamic response with minimal to no rehabilitation required for the life of that excavation. The project utilised a design methodology for determining the required energy demand based on detailed geotechnical mapping, probabilistic analysis of wedge formation and an estimate of rock ejection velocity based on uniaxial compressive strength of the intact rock (Villaescusa et al. 2016). The ground support scheme consists of high tensile chain link mesh, resin encapsulated de-coupled posimix bolts and plain strand cable bolts, in one, or multiple passes together with plain shotcrete. Implementation of the design posed several challenges including how to install the chain link mesh, maintaining the required productivity, ensuring quality control, and understanding the interaction of the several ground support components within the scheme. The implementation of the system within a trial area was successful from development mining to open stope extraction. The most significant field verification of the system occurred with near field M+1.9 seismic occurring in proximity to an operating long-hole drill. Despite large displacements exceeding 0.5m in places, there was no significant ejection of rock or failure of the ground support system. Following the successful trial, the ground support design methodology and standards have been implemented across several NSR sites. The system forms the basis for the successful extraction of resources in future high seismic risk areas.

Mar 15, 2021

By E M. Gama, L Resende

The tailings are waste from mineral processing operations. The type of tailings of iron ore processing are classified into sandy tailings and mud. Already the overburden are showing significant levels of useful mineral. Both iron ore`s waste have in your composition phyllosilicates/clay that indicates the potential for use in niche markets as paving and cement. According to several studies, there are various technologies in bench and pilot levels that could be used on a large scale but there is not an economic environment, tax, regulatory and tax set. Many of these technologies are associated with the reuse of tailings and overburden in construction. All these factors influence for that so many initiatives remain in search formats and cannot advance to the new business format. There is no way to set goals of reuse of this waste, as already occurs in China, if there is not a fiscal, tax and economic structure to support such measures. The way to foster and ensure that reuse of tailings and overburden is an incentive for promoting a culture of circular economy that would allow the emergence of an ecosystem between the private, public and Government sectors with the objective of accelerating and subsidize the entire network of reuse of this waste. The closure of the mine could be the tool used to ensure and boost this ecosystem of reutilization to align it with the vocation of the area of the mining law. Following this model, the end of the mining activity could provide a financial return to the local population, a more effective environmental compensation and a reduction in costs related to the closure of the mine. In this study are shown how the Vale is working in the reuse of tailings and overburden.CITATION:Resende, L and Gama, E M, 2018. The challenges of the reuse of tailings and overburden, in Proceedings Mine Waste and Tailings Stewardship Conference 2018, pp 117–125 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 23, 2018

By E Hernandez, I Agustian, W Kusumohastuti

PT Freeport Indonesia is completing the first underground gyratory crusher excavation at their Deep Mill Level Zone (DMLZ) mine located in the mountains of Jayawijaya, District of West Papua, Indonesia. DMLZ is an underground block cave mine with an expected output of 80 000?t/d and a scheduled production start in 2015.In order to deliver crushed ore to the mill through the existing conveyor belt, the DMLZ block cave mine will construct two 1000?kW 1.6?×?2.3?m gyratory crushers with their own respective ore flow conveying systems underground. Each crusher is composed of top, middle, and bottom chambers with an ore bin. This system includes a series of high capacity conveyors approximately 5 km in length including transfer stations and support facilities.The development methodology required a combination of lateral development by jumbo drilling machines and vertical development by mechanised raise climbers (MRC) due to the complexity of the chamber design.This paper will discuss the project scope, design and development methodology, ground conditions, innovative survey controls, and the challenges faced due to the remote location.CITATION:Hernandez, E, Kusumohastuti, W and Agustian, I, 2014. Excavating the first underground Gyratory Crusher at the Deep Mill Level Zone mine, PT Freeport Indonesia, in Proceedings 12th AusIMM Underground Operators’ Conference 2014 , pp 43–50 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Mar 24, 2014

By A Teen

An open cast mine on the West Coast of the South Island of New Zealand proposes to remove up to 30 m of overburden to access an ore body neighbouring National Reserve land. Part of the conditions of the mining permit is that no material above natural discharge levels may be released over the Mining Lease boundary onto the adjacent land. In order to meet this requirement, the client has contracted the design and installation of over 2.6 km of high energy dynamic rockfall control barriers. This paper describes how the rockfall hazards were assessed and the rockfall barriers dimensioned. The design involved 2D modelling of over 3000 simulations.   Modelling parameters were calibrated during field trials at a purpose built section of barrier. The resultant energies ranged from 500 to 3000 kJ. The construction phase of the project involved the drilling, anchoring, and installation of certified barriers up to 7 m high in a remote and inhospitable climate with limited machinery access. By exploring best practice in this specialized field of engineering, a novel rockfall hazard mitigation solution was identified.

Jan 1, 2007

By J J. Moreno, J Willis, P Garvey

Many of the tailings storage facilities (TSFs) in Australia are upstream raised facilities for which the consolidation of the hydraulically deposited tailings is essential to the stability of the TSF. While much operational consideration is given to limiting the rate of rise of TSFs through careful management of deposition rates to achieve desired consolidation, the rate of embankment raise construction (RoC) is often not given the same level of consideration. Loading the tailings at too high a rate during construction could lead to upstream and potentially downstream failure of the embankment. The Tailings Retention System (TRS) at the BHP Olympic Dam Mine comprises upstream raised TSFs that are continually raised with a zoned embankment. Improving on 20 years of successful embankment raising, there was a desire to understand the acceptable RoC under varying operating conditions and assess upper construction limits to improve operational risk management. To understand the RoC, trial embankment raise construction pads were constructed at different rates and the pore pressure response of the underlying tailings material was monitored. The pore pressure data were used to calibrate the permeability and consolidation characteristics of the tailings in a finite element model (FEM) that replicated a typical embankment raise. The rate of material placement, location of the phreatic surface and construction load were varied in the FEM until failure was initiated. The results were presented as a period (in days) over which the various zones for the embankment raise could be safely constructed. The results indicate direct sensitivity to the depth to the phreatic surface prior to commencement of an embankment raise, as well as the point of application of the construction traffic load. This paper presents the study approach, challenges experienced in modelling the construction methodology, the study results and their relevance in the improvement of understanding of RoC at the BHP Olympic Dam TRS.

Jul 1, 2021

By J Q. Cooper

The New Zealand rail authority, Kiwi Rail and Auckland Regional Transport Authority (ARTA), are jointly planning a new mainline rail link between Auckland’s downtown Britomart Station and the existing Western Line at Mt Eden. In 2009, APB&B, a consortia of Aecom, Beca, Parsons Brinkerhoff and Hassell Architects where commissioned to develop the conceptual design, Assessment of Environmental Effects (AEE) and business case for the new 3 km rail line towards preparing a Notice of Requirement to protect the route through Auckland’s central business district.This paper describes the engineering challenges in the development of the conceptual design for the three proposed underground stations, the running tunnels and connections to the existing network. Feasible alignment and station location options were developed and evaluated using multi-criteria analysis based on key client functional requirements, constraint mapping and environmental impacts. The resulting preferred scheme was then developed to a conceptual design suffi cient for assessment of environmental effects, risks, and the development of a robust construction methodology to allow high level capital cost estimates.The paper describes some of the major challenges overcome to develop the concept, including steep gradients, narrow street envelopes with existing buildings and structures, the need for large platform spaces with low ECBF rock cover and complex connections at Britomart and the main line near Mt Eden.The development of the conceptual design of the underground stations in particular demonstrates the need for a holistic value engineering approach to satisfying the architectural and functional requirements, in a highly constrained dense urban environment and at lowest practical cost. The construction methodology was a key input to the conceptual design development throughout.The conceptual design will be used as the fundamental basis for the development of the AEE and business case for the project in the future.

Mar 8, 2011

By A Huebner, A Noack

Companies all over the world are very sensitive concerning their IT and network security. In most network connected technical installations and machines however, network security is not taken into account to a significant extent: insecure protocols are run, unencrypted information is exchanged freely and even broadcasted wirelessly and networked machines are accessible via insecure file transfer protocol (FTP).What happens in case of malfunctions of such technical installations? Who is responsible? Who can be held liable in case of accidents? The first computer worm for automation systems (æSTUXNETÆ) (Symantec, 2010) was discovered during 2010.The paper is intended to create sensitivity among decision makers for potential security and resulting safety leaks and points out the current status quo in technical network security. It outlines best practices for secure networking and procedures for remote access and remote software updates on stationary equipment and mobile mining machinery. It describes how to ensure authentic and genuine configurations and software targets and how to ensure secure communication for autonomous and remote controlled equipment. For such equipment in particular, the following statement should apply: æThere is no safety without network securityÆ.

Sep 26, 2011

By F Musa

One of the main energy efficiency opportunities identified from the majority of mine site energy audits is to optimize the comminution circuit to reduce energy consumption through improved throughput and product size distribution. Typical analysis reviews comminution process efficiency/inefficiency i.e. utilization of grinding mills, process bottlenecks and product vs. target size, to identify instances of overgrinding or undergrinding. From this, it is possible to establish the potential improvement that could be gained through formal plant optimization and what the optimization program would entail. It can also sometimes reveal immediate opportunities for process improvement. This paper presents steps that can be taken to optimize the efficiency of comminution circuits.

Aug 8, 2011

By R Shaw, R Williamson

Global iron ore demand, sparked by ChinaÆs rapid industrialisation and emergence as the worldÆs newest steel market, has seen iron ore groups investing heavily in production capacity as well as infrastructure. The success of these new projects depends heavily on reliability, competitiveness and quality control in an increasingly demanding trading environment. Furthermore, the iron ore industry continues to improve its competitiveness in mining practices, technology innovation and management processes. The continued fine tuning of these sectors will be critical to the success of the industry in the years ahead, and this mining sector will continue to demand process improvements from their service suppliers to maintain competitiveness. Automation offers a real solution to these demands. A crucial quality control element in mining, beneficiation, stockpiling and shipping stages is ensuring representative samples of ore are taken along each step of the process. When these samples reach the laboratory it is imperative that the sample is representative of the entire stream and that no induced errors occur. Examples of automation start with mechanical primary and secondary samplers in the run-of-mine processes through to sample tower and laboratory crushers, dividers and collectors. Automation is widely used in many forms to provide reliable and repeatable samples for analysis whilst providing a safer working environment. Laboratory automation systems in use today vary from simple linear systems to sophisticated robotic cells. Sample automation in the iron ore industry has resulted in many benefits for both producers and their customers. The most significant benefits have come in the form of higher safety standards whilst reducing sample error, sample handling and sample contamination during collection. These benefits have been further augmented by reliability and repeatability of automating the final sample preparation and analysis stage. Today these benefits are reflected in reduced costs of sampling and improvement in both turnaround time and quality of results, whilst complying with Australian safety and ISO sampling standards.

Jan 1, 2007

"Cash flow modelling during project evaluation is enhanced when probabilistic methods are applied to the inputs. One of the important inputs is the quarterly production profile. Typically, the steady-state production profile provided to project evaluation practitioners is deterministic, with each quarter the same as every other quarter. This is unrealistic as actual production profiles from existing mines exhibit a range or quarter-on-quarter variance. Monte Carlo stochastic simulation of the production profile can be used to provide a range of possible outcomes, but how are these ranges selected? This paper describes the use of quarterly production variance from a large database of mines worldwide as a benchmark to inform the appropriate selection of ranges. The coefficient of variation is used to rank the production from mines, with quartile analysis applied to indicate industry best, median and worst variation. Due diligence of existing mines and evaluation of future production performance can be quantitatively assessed using this approach. Examples of the effect on value are provided.CITATION:Stewart, C A, 2016. Production variance benchmarks and their use in project evaluation and due diligence, in Proceedings Project Evaluation 2016, pp 201–213 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016