Search Documents

By J. -P. Chilès

The discrete Gaussian model is a very popular change-of-support model for estimating block grade distributions. It is designed for a stationary random function Z(x) that is regarded as the transform of a stationary random function Y(x) with Gaussian marginal. It is based on an assumption that is not fully true and thus constitutes an approximation to the exact solution. We examine the effect of this approximation on the modelling of the marginal distribution of block values of a lognormal random function. The initial discrete Gaussian model and a variant of that model are considered.

Jan 1, 2014

By Prosper Lamothe

El presente texto describe los distintos métodos y criterios empleados en la valoración de yacimientos o activos mineros de Chile, asimismo se realiza un análisis comparativo de los distintos métodos para explicar las distintas distorsiones, errores, riesgo e imprecisiones de cada uno de ellos. En este sentido, las empresas son concientes de los riesgos y el impacto que tienen en el valor comercial, los modelos de estimación de recurso y las reservasmineras. mineras. Por ello, las opciones reales son actualmente la técnica que permite valorar y controlar en cierto modo la cobertura de riesgo del negocio.

Sep 12, 2005

By Luciano R. G. Santos

Keywords: biosorption, cadmium, copper, biomass, spent zeolite. The majority of the industrial activities produce some kind of solid wastes. In this work two industrial residues (spent zeolite and wood sawdust) were chemically modified to increase their heavy metals sorption capacities. Manilkara longifolia (a Brazilian plant known as parajú) sawdust was first treated with NaOH and modified with different citric acid concentrations (0.6-1.2 mol/L) at 120°C, for 90 min. Infrared spectroscopy confirmed the presence of carboxylate groups in the wood structure as result of their mixing. Similarly, spent zeolites were also submitted to a chemical treatment (NaOH) to remove carbon deposited during oil cracking and to recover its sorption capacity. Batch experiments carried out at ambient temperature showed that both materials present sorption capacity for copper and cadmium comparable to weak acid ion exchange resins. A maximum of 78 mg-Cd/g and 59.7 mg-Cu/g as well as 29.9 mg-Cd/g and 14.6 mg-Cu/g were observed for the sawdust and the zeolite, respectively. The results were modeled according to the Freundlich and Langmuir equilibrium isotherms and compared with results of other studies.

Jan 1, 2005

Valuable Components Recovery from Lead-Zinc Metallurgical Slag

Sep 13, 2010

By A. L. Slaughter

A mineral deposit has been discovered and explored sufficiently to establish the presence of ore in ?commercially marketable quantities," This is the point at which exploration ends and development begins, Of course, when the presence of commercially marketable quantities of ore are thought to be present the deposit had to be evaluated before this decision could be reached. If, on the other hand, it was thought that commercially marketable quantities of ore are not present, either more exploration has to be done or the project must be abandoned. It is this decision with which this paper is concerned, more particularly, the influencing factors behind this decision. The final question to be answered is: what profit can my company reasonably expect to make by developing this property and putting it into production? The answer must be expressed as a figure for final profit per ton, money which can be used to pay dividends or to build up cash reserves. Some acquisition cost has probably been paid and the exploration cost incurred at the time of decision, (abandonment or development). In addition to returning these acquisition and exploration costs, the deposit must pay development, mining, milling, capital expense of new plants and equipment, taxes, and various other related costs.

Jan 1, 1958

This paper examines the issues involved in the technical audit and valuation of exploration prospects. Certain methodologies are more appropriate to use depending upon whether the mineral property valuation is of an exploration area, a project under development, or an operating mine. Valuation approaches that are reviewed include the Multiple of Exploration Expenditure, Joint Venture Terms, Rules of Thumb, and particularly the Kilburn Rating Method. The DCF/NPV Financial Simulation Method, even modified by the use of Expected Values, is not considered appropriate for valuing exploration prospects. The choice of the most appropriate methodology and its successful application depends primarily upon the amount of reliable input data available and, more importantly, the experience and judgement of the valuer. It must be remembered that all valuations are time and circumstance specific and will be generally subject to revision as more data becomes available.

Jan 1, 1993

By J. G. Russell

The valuation of known mineral re-serves entails the economic evaluation of the mining enterprise and the valuation of other assets employed, including mining and processing plant and intangible assets. A case study approach analyzes two reserve situations: ownership of reserves (phosphate rock), and leasing of reserve lands (kaolin). The appraisal of the physical property is outlined, along with the economic analysis of the operation. The discounted net cash flow approach is used to value the enterprise, leading to value of the reserves after correlation with other assets employed.

Jan 1, 1989

By John C. Smock

THE question of the proper valuation of mines of iron ore was suggested to me by the difficulties experienced in getting answers for the United States Census Office, while I was engaged in the work of collecting the statistics of mines in New Jersey and New York The answers to the questions relating to values of real estate of mine properties varied so greatly that it was necessary to revise them according to some general principles of valuation. Generally the returns of mine proprietors Seemed to be too low. There were, however, examples of what would be termed excessive valuation. The Subject appeared to be of practical importance, and led to the paper here presented. The following table of selected mine statistics is given, prefacing the discussion of the principles of valuation. It is in part made up of census returns and partly of data obtained directly from mine owners and managers. The mines which were Selected for the Several groups and mining districts include nearly all of those from Which the more full and carefully filled returns were received, and are also representative of their respective districts. Hence the averages obtained from them become good types of these groups or districts. The mines of New Jersey appear in Six groups, each containing from three to eleven mines, or, in all, thirty-four mines. The magnetic iron ores of New York are in four well-marked groups, and there are twenty-six mines in them. Then follow the red hematite mines of St. Lawrence and Jefferson counties; and, lastly, the brown hematite groups of Dutchess and Columbia counties, and those of the adjacent parts of Connecticut and Massachusetts. The whole number of mines represented by the table is eighty-eight, of which twenty-eight are hematite mines. The first column gives the value of the real estate; the second that of the plant; the third is the sum of these two, or the capital invested. Then follow the number of men employed, the amount of wages paid during the census year, and the value of materials used in mining and preparing the ores for market.* The seventh column gives the total expendi- * The value of materials is somewhat uncertain in many cases, as royalties are included under this head. Likewise, under wages, the cost of explosives and light is often included. Hence it is impossible to draw the line sharply between these items of expenditure.

Jan 1, 1882

By M. H. Moys, J. A. Finch, A. R. Laplante

"A detailed review of ball milling circuit control practices in industry has been carried out. Based on fundamental process performance objectives, a standard system for base-level control of most ball mill installations is presented. This system is simple, inexpensive, and provides the major economic benefits available from contemporary automatic control technology.Value Analysis of Grinding OperationsValue analysis (or engineering, or management), originally developed by Lawrence D. Miles of the General Electric Company (1), focuses on the identification of value (product or process worth versus cost) and provides a systematic procedure for its improvement. A recent research and development project involving the application of the principles of value engineering to grinding operations has provided a basic technoeconomic model of grinding processes (2). The functional objectives of the ball milling process and the means to achieve value based grinding circuit control originate from this study.The Need for Grinding Circuit ControlThe economic effectiveness of a process is determined by the quality or value of the product and the related processing costs. If the inputs (both the raw feed and the applied processing work) are absolutely constant, the product characteristics and the process efficiency will be determined only by the engineering design. The need for and degree of process control is therefore determined by the nature of variations or upsets in the process inputs, and the extent to which these effect product value and operating costs."

Jan 1, 1988

By J. M. Garcia

This paper highlights several management practices from the oil and gas industry to support the proposition that financial performance in the finite, non-renewable resource business relates more to upstream rather than downstream activities. Based on the analysis of nine oil and gas companies, this study supports a previous study involving fourteen mining companies that showed reserves growth is one of the main levers of value creation in mining. Interestingly, this study also finds that the oil and gas industry has been historically more profitable than mining. The reason, it is argued, is that oil and gas companies count on management practices that focus primarily on the upstream segments of the business, compared to the traditional downstream focus of mining. This paper delves into these ideas to conclude that what mining may need to improve its competitive advantage is a new organizational framework. Another conclusion is that the upstream management focus is vital not only for strategy formulation in the resource business, but also for policy formulation in economies based on the export of finite, non-renewable resources.

Jan 1, 2011

By Elizabeth M. Smith

The kcICON design-build project in Kansas City, Missouri includes widening the existing roadway, improving interchanges and grade separation bridges, and replacing the Missouri River Bridge. The Missouri Department of Transportation (MoDOT) typically utilizes steel H-piles and steel pipe piles as driven pile support for bridges. After bidding the kcICON project, the cost of steel rose significantly and the design-build contractor used an innovative approach to reduce foundation costs without significantly affecting the project schedule. The kcICON team conducted a value engineering evaluation of alternative foundation types for use at four grade separation structures. The result of the value engineering evaluation was selection of precast, pre-stressed concrete (PPC) piles as the preferred foundation alternative. Terracon developed a test program to evaluate the performance, capacity, and suitability of PPC piles at the site using a PDA and CAPWAP analyses. This paper presents the value engineering design, rationale for selection of PPC piles, results of the pile test program, and findings during production pile driving. The collaborative approach to the project by MoDOT and the kcICON team, combined with testing and a site-specific design approach, resulted in substantial savings for the design-build contractor.

Jan 1, 2009

By Shahid Islam, Lucian Bogdan

Deep and large diameter drilled shafts use mostly bundles of Grade 60 (415 MPa) reinforcing bars as longitudinal reinforcement with rebar splices to make it longer. Lower Grade steel requires large number of bars which result in rebar congestion and difficulty in placing concrete. This leads to increased labor cost for fabrication and installation. By utilizing larger size and higher strength threadbar, the congestion of rebar can be reduced significantly and bundling of bars can be avoided. The lap splices are replaced with simple threaded couplers and end hooks are replaced with end terminators. Threadbar conforms to ASTM A615-15 and can be epoxy coated if required for corrosion protection. This paper describes an attractive value engineering of replacing Grade 60 (415 MPa) bundle of rebars with larger diameter Grade 75 (515 MPa), Grade 80 (550 MPa) and Grade 100 (690 MPa) threaded bars and threaded couplers in some specific drilled shaft projects in the USA. INTRODUCTION A drilled shaft which may also be referred to as drilled piers, caissons, cast-in-drilled-hole piles and bored piles is the key element to the foundation of massive structure. They are used for tall buildings, bridges and foundations for other applications such as retaining walls, sound walls, signs, or high mast lighting. Drilled shaft foundations are typically 3 to 12 feet (0.9m to 3.7m) in diameter cast-in-place deep foundation elements constructed in a drilled hole that is stabilized to allow controlled placement of reinforcing steel and concrete. Drilled shafts for transportation structures are commonly used to depths of up to 200 ft (61m) in the USA. Drilled shafts can be installed in a variety of soil and rock profiles, and are most efficiently utilized where a strong bearing layer is present. The reinforcing cage is typically lowered into position within the hole and then concrete placed through the center of the shaft, flowing from bottom to top through the reinforcement to fill the hole.

Jan 1, 2018

By Peter Faust, Jeremy Zorne, Timothy Siegel, Diane Fiorelli

Professional sport venue construction follows a very simple rule. Once the decision has been made to move the team to a new place, construction shall begin immediately, so that not more than one or two seasons pass by stuck in the old home. Such tight construction schedules require a different approach than traditional design-bid-build contracts. Design is mostly done on the fly, the construction schedule becomes a main risk factor and an early contractor involvement is desired. As specialty contractors become more and more sophisticated, owners, their construction managers or the general contractor have realized the value of ideas and modern technology they can bring to the table for a successful and fast project completion. Local knowledge and experience in a variety of solutions play a key role in the specialty contractor’s ability to provide added value to the project. This is also true for the specialty foundation contractor, who needs to understand the complexity of such modern structures from its integrate foundation, over the delicate concrete structure to a potentially fancy movable stadium roof. Not to mention all the modern high tech equipment which shall make such a place a great customer experience. His expertise shall enable him to propose the most suitable foundation element for the given ground condition and application. Rather to build what others have designed, his strength is to propose alternate concepts which will be faster and (hopefully) more cost effective. This paper highlights different value engineering (VE) input a specialty foundation contractor had on 3 major sports arena projects in California. Together with the entire team from owner to GC, including the Geotechnical (GEOR) and the Structural Engineer of Record (SEOR), the most efficient and best performing foundation solution can be found every time. But such an approach also requires the open mind of the owner to entertain last minute changes when the permit drawing set has already been submitted for approval.

Jan 1, 2018

By M Gill, A Mathias

The mining industry has always been cost-focussed but in recent times mining companies have moved towards obtaining a competitive advantage through the implementation and sustainability of best practice in the areas of improved safety, operating costs, quality and productivity. This is the concept of Value In Use û that mining companies see value generated all the way to the bottom line through improved change, and those changes become an established mine practice. Many mining companies do not have the resources or the knowledge to sustainably achieve such an outcome. This has led to companies looking to their suppliers to deliver measured value to their business through partnership arrangements. Suppliers have been able to leverage their knowledge of products, product applications and services to offer alternative supply agreements that bring greater returns to their businesses while improving supplier/client relationships. Orica has developed such a partnership with Coal & Allied in the form of a Continuous Improvement Program. Coal & Allied is based in the Hunter Valley region of NSW and is the largest coal producer in that region. Both parties are contractually bound to jointly deliver Value In Use projects to Coal & AlliedÆs Hunter Valley Operations and Bengalla mine sites. It is the request of the Orica and Coal & Allied Steering Committees that this paper does not include the details of actual projects or the costs or key performance indicators associated with the program. This is to maintain the competitive advantage to both Orica and Coal & Allied through the implementation of such a program. It is in the writersÆ opinion that this paper does not lose any significance through this restriction as the most important component of the Continuous Improvement Program is not the projects themselves but the methodology behind them. With this in mind the paper will discuss the development of Value In Use offerings, the key aspects of the Coal & Allied and Orica joint program, what is a Value In Use project, how to measure its value, finally why and even more importantly what makes this program is a success.

Jan 1, 2004

By I Minniakhmetov, J Ashford

Orebodies constitute naturally occurring, commonly highly variable concentrations of minerals in the earth’s crust formed through varying and highly unpredictable processes. Orebody knowledge is a core foundation of a mining company’s asset base underpinning all decisions about Mineral Resource and Ore Reserves, future production, development and ultimately the profitability and competitiveness of a mining enterprise. The decision to invest in a mineral project is usually based upon a techno-economic evaluation of the project and having clear approval pathways to gain local community support and address social and environmental impacts. The main objective of the techno-economic evaluation is to determine the optimum development sequence for the particular orebody in question and to estimate the economic viability of the project and the future return on investment to its stakeholders, balancing the inherent value of the mineral in the ground against the costs of development and market pricing. With the exception of market-driven commodity prices, virtually all revenue and cost estimates fundamentally stem from the understanding and subsequent modelling of the orebody. A reliable estimate of the ore deposit grade and other geological value-drivers is the foundation upon which the business case for future mine development and operation is intricately dependent. Orebody knowledge is, therefore, the fundamental driver of the mineral project cycle, influencing the progression of studies and consequently, the resource company’s ability to declare Exploration Results, Mineral Resources or Ore Reserves which govern the source and cost of funding available to the project. Drilling provides a ‘vector’ to the true nature of the orebody and effectively buys time to manage the technical risk associated with the orebody. Despite its perceived high cost, in both time and money terms, drilling is the only available technology for acquiring the necessary orebody knowledge to support technical and economic studies and to minimise orebody-driven cash flow uncertainty and volatility. However, like all costs, pressure to minimise drilling budgets is ubiquitous across the minerals industry. Paired with inappropriate key performance indicators, drilling is often regarded as a cost to be minimised, rather than an investment to be optimised. Furthermore, as future deposits get deeper and more complex, the collection of orebody knowledge is increasingly on the critical path for project development. The increasing cost of data collection pertaining to these deposits increases the temptation to minimise orebody knowledge gathering at the cost of long-term value as the reduction or postponement of drilling results in greater orebody knowledge risk at all stages of the value chain. Indeed the true cost of the decision to drill less is rarely known until the mine is in operation, well after the mine project evaluation team has moved on. This paper aims to promote orebody knowledge as the fundamental source of endogenous project financial risk and, consequently, its critical importance in project financial evaluation. Furthermore, the report documents experimental research into the development of an econometric model for valuing orebody knowledge. Using the density of drilling data as a proxy measure of orebody knowledge, the proposed approach integrates well-established stochastic grade modelling techniques with the mathematical mechanics of Decoupled Net Present Value (DNPV) which, combined with stochastic grade modelling (conditional simulation), lends itself to the financial International Mining Geology Conference 2022 | Brisbane, Australia and Online | 22–23 March 2022 3 assessment of orebody knowledge risk. Based on this approach, a metric is formulated, representing the minimum value of the orebody knowledge added by additional drilling

Mar 22, 2022

By T. J. Otto, I. D. Ungerer, G. C. Lindeque, T. J. van Heerden

Anglo American Kumba Iron Ore (Kumba) continues to implement technologies focussed on improving safety and productivity; this forms part of the groups FutureSmart Mining initiative. The paper provides insights into the implementation of three technology solutions that improves the productivity of heavy mining equipment (HME). Enhancements to the short term mine planning (STMP) process, the effective use of a fleet management system (FMS) and the deployment of drones or Remotely Piloted Aircraft Systems (RPAS) are discussed. The implementation of these and other technologies contributed to a 13% and 22% increase in the overall equipment efficiency (OEE) of the primary HME at Kumba’s Sishen and Kolomela mines respectively. Four key success factors (KSF) are highlighted namely that Kumba’s technology implementation drive is a key enabler to the company’s strategy, has a strong focus on value-add, is underpinned by a holistic and integrated implementation approach and is people-centric.

Sep 1, 2021

By Robert T. McKnight

"Traditional techniques for valuing resource projects companies have been primarily based on discounted cashflow methods (DCF) or by comparison to similar projects with an apparent market capitalization. Many resource projects are really forms of options to invest rather than a future cashflow stream. Employing the DCF method to value a resource project which is really an option to invest, can dramatically underestimate the real value of the project. The analytical tools required to evaluate options, while more complicated than the usual spreadsheets used for DCF, are becoming more easily available and usable by managers. This paper will discuss the background of options valuation and some of the tools which will make it easier for managers to estimate the value of projects and companies which have significant real option values.ResumeBob McKnight is a graduate of the University of British Columbia in Geological Engineering, supplemented by an MBA from Simon Fraser University. Following several years in the oil patch with Cities Service and Brascan, Bob returned to Vancouver in 1979 to work for Wright Engineers. He subsequently went on to work for Cassiar Mining, Getty Resources and Endeavour Financial before joining Pincock Allen & Holt Ltd. in 1998. His experience ranges from exploration to feasibility studies, financial evaluations of mining and oil & gas projects, due diligence, project finance, valuations and mergers and acquisitions. He has extensive international mining experience pertaining to such countries as Chile, Mexico, Uruguay, Thailand, Indonesia, Angola, Papua New Guinea, Kazakhstan.What are Options?Options have been around for centuries. They were familiar to Roman and Phoenician traders who were shipping cargoes from Mediterranean seaports. In the financial world, options are types of contracts that generally include the right, but not the obligation, to buy or sell a share, currency or commodity. The underlying commodity price or share price changes are assumed to be lognormally distributed. In this context, options are of two general types, ""call"" options and ""put"" options. Call options have the characteristic of having the right to buy a tradable commodity or currency at a predetermined price for a specified period of time. For the owner of call options, they become more valuable as the price of the underlying commodity increases. For the seller of call options, these options become an increasing liability as commodity prices rise, since there is the obligation to sell the commodity at a predetermined (perhaps lower-than-market) price. This characteristic of call options recently became high profile with the sharp rise in gold prices last year. The value of gold call options sold by certain producers increased their associated liabilities to the point where margin calls were made."

Jan 1, 2003

By T. Grammatikopoulos, A. McKen, O. Christiansen

Vanadium mineralization occurs in oxide-rich horizons within layered metagabbro zones of the Sinarsuk deposit, West Greenland. The main oxide minerals are vanadiferous magnetite and ilmenite, comprising 30% to 90% of the rock volume and the ratio of magnetite to ilmenite ranges from 3:2 to 4:1. Ore microscopy shows that magnetite and ilmenite vary between 0.2 mm and 4.5 mm in grain size, but locally they are coarser grained. Grains are subhedral to euhedral and annealed suggesting that they will liberate very well upon grinding. Electron microprobe analyses indicate that magnetite grains are homogeneous and have a vanadium content, in different mineralized samples, ranging from 1.93 wt% to 2.68 wt% equivalent V2O5. Ilmenite hosts abundant and variably sized hematite lamellae, and it has vanadium contents ranging from 0.32 wt% to 0.59 wt% equivalent V2O5. Preliminary beneficiation of two composite bulk samples shows the samples can be beneficiated fairly easily using low-intensity magnetic separation at a coarse grind (106 microns to 600 microns) to yield a vanadiferous magnetite concentrate. The presence of hematite lamellae in ilmenite prevents recovery of a satisfactory ilmenite concentrate. The most likely beneficiation flowsheet would encompass a primary mill (SAG or rod mill), which would grind to about 600 microns, followed by a rougher magnetic separation stage. The rougher magnetic concentrate would be reground in a ball mill until suitable liberation is achieved. The reground material would then be cleaned in further LIMS stages. However, further laboratory testing is required to establish the final beneficiation program. This work demonstrates the value of mineralogical investigation in guiding and explaining the results of beneficiation processes.

Jan 1, 2002

In September 2003, a test was conducted to see if a115-mm- (4.5-in.-) diam Mocap Vari-Stem blasthole plug could improve the pattern of explosives using different top stemming material. The test took place at the J.S. Faulkroad and Sonsstone quarry in McCalisterville, PA. The test consisted of a production stone blast. Half of the holes were stemmed with standard crushed stone. Two-thirds of the remaining half were stemmed with Vari-Stem plugs and crushed stone. And the remaining one-third of the second 50 percent was stemmed with Vari-Stem plugs and only drill cuttings.

Jan 1, 2004

By G. Noce

The ever more present necessity for greater precision in foundation structures on vertical piles subject to horizontal forces applied to the heads, in the light of of the latest knowledge about the elastic-plastic behaviour of the soil has led to the use of numerical calculation for the formulation of a general resolution method for the problem. The calculation method that will be set out, applicable to piles with inertia moments variable discreetly along their axes is especially useful when studying steel structures for medium and large tonnage vessels for which the metal piles are often constructed for the assembly of section of equal external diameter but different thickness and therefore different inertia moments. Two examples are given of constructions whose foundations have been projected with these calculation tools, one in the railway sector (foundation pile for the river Nera viaduct - Italy) important for the limitation of horizontal relative deck displacement, the other maritime (Dolphins of the petroleum pier of the port of Bandar Abbas - Iran).

Jan 1, 1989