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By L. Archambeault

This paper describes preliminary research on the application of Markov Decision Processes (MDP) to Real Option Valuation (ROV) and the optimisation of mine scheduling. The MDP framework is a novel approach to option valuation and scheduling in mining operations. A learning agent is introduced into the valuation process of an open pit, where prices and block ore grades have probabilistic values. The prices are modelled using a mean reverting diffusion process and the block grades using sequential Gaussian simulation. The agent is asked to learn which production parameters should be used in order to maximise the overall value of the project. The introduction of the agent permits a real option approach to mine valuation, such that the value associated with the robustness of a design to uncertainty can be measured. A simulated example is used in which there are ten blocks to be extracted under conditions of grade and price uncertainty. Using policy iteration, an optimal policy is generated and the value of production options is found. The potential financial gains from applying MDPs to mine valuation and optimisation are substantial and warrant further investigation.

Jan 1, 2007

By D. F. Malan

This paper presents an overview of work conducted over several years to investigate the continuous stope closure profiles recorded in tabular excavations and the use of this data as a hazard indicator. In spite of the brittle nature of the rock, measurements in gold mines and intermediate depth platinum mines revealed a significant time-dependent closure component. Various approaches to simulate the time-dependent closure have been investigated. Viscoelastic theory is able to simulate the time-dependent closure behaviour, but there are subtle problems with the use of this theory as it cannot simulate the failure processes in the rock. To overcome these problems, continuum and discontinuum elasto-viscoplastic models were developed by the authors. Discontinuum models have the advantage of being able to simulate the creep behaviour of prominent discontinuities. Development of these models has led to useful insights into rock mass deformation and has made the numerical simulation of parameters, such as rate of mining, possible for the first time. A number of practical applications for the mining industry have been developed from this study. Among these are the delineation of geotechnical areas using closure data, use of the data as a hazard indicator and to give warning of large collapses in the platinum mines, identification of areas to be preconditioned in the gold mines, measurement of the effectiveness of preconditioning and improved da

Jan 1, 2007

RME has a vision for a new grinding plant operational paradigm made possible by RME's fast, safe Mill Relining System. Some new liner designs can degrade SAG mill performance because of mill volume loss, ball strike (rotational speed limitations) and other issues often brought about by modifying liner design for maximum life and without a backward glance at metallurgical consequences. Freshly relined mills can initially produce as little as 80 per cent of their maximum throughput, that maximum occurring toward the end of the liners' wear life. RME's proposition is to see new liners designed for maximum commercial performance. This may mean more frequent mill relines but with liners designed to yield optimum grinding, metallurgical and profitability performance, not maximum life. In other words, mill liner profiles and mill relining speed become key operational controls and not simply `must do' maintenance functions. Taken to the extreme, liner profiles may prove capable of `tuning' a grinding plant for maximum profitability in any metal price environment. Following the introduction, the first section of this paper provides an update describing recent and significant developments within RME's range of Mill Relining Systems, the enabling technologies which permit more frequent liner exchange without incurring additional downtime imposts. The second section outlines RME's vision of a `liner profile versus profitability' commercial model, developed either intuitively or by using a combination of new measurement and modelling technologies. These new measurement and modelling tools provide the opportunity to predict the optimum commercial outcome, off-line in the virtual world, before committing to an expensive liner experiment.

Jan 1, 2007

By W. P. Johnstone

The computer assisted generation of geological models to represent the geometry of, and grade distribution within, orebodies is a rapidly growing area of the geological profession. Such models are increasingly used as a necessary starting point in determining the mineability of mineral deposits in terms of practical mine design and economic considerations. The transition from traditional techniques such as field or underground mapping and the manual calculation of grade and tonnage estimates, as well as related activities such as the interpolation of cross-sections, the use of stereographic projections, core logging and hand contouring, to computerized applications, is by no means complete. In fact, many geological professionals deliberately avoid the use of computer simulations based on the perception that the resulting models are simplistic and that their construction is not founded on sound geological principles. The purpose of this paper is to assess current thinking on this topic by considering; (a) an overview of advances in the drafting of geological maps, (b) the theoretical basis for multi-dimensional geological modelling, (c) the case for combining traditional and modern techniques, and (d) the benefits to the mining value chain.

Jan 1, 2003

By E. Machaka, A. Cornah

"Mineral resources are typically informed by multiple data sources of varying reliability throughout a mining project life cycle. Abundant data which are imprecise or biased or both (‘secondary data’) are often excluded from mineral resource estimations (the ‘base case’) under an intuitive, but usually untested, assumption that this data may reduce the estimation precision, bias the estimate, or both.This paper demonstrates that the assumption is often wasteful and realized only if the secondary data are naively integrated into the estimation. A number of specialized geostatistical tools are available to extract maximum value from secondary information which are imprecise or biased or both; this paper evaluates cokriging (CK), multicollocated cokriging (MCCK), and ordinary kriging with variance of measurement error (OKVME).Where abundant imprecise but unbiased secondary data are available, integration using OKVME is recommended. This re-appropriates kriging weights from less precise to more precise data locations, improving the estimation precision compared to the base case and to Ordinary Kriging (OK) of a pooled data-set. If abundant secondary data are biased and imprecise, integration through CK is recommended as the biased data are zero-sum weighted. CK consequently provides an unbiased estimate with some improvement in estimation precision compared to the base case."

Jan 1, 2015

By B. P. Watson

The Bushveld platinum group metal deposits are two distinct, shallow-dipping stratiform tabular orebodies and strike for many hundreds of kilometres. Mining is extensive, with depths ranging from close-to-surface to 2 000 m. The mining method is a variation of planar open stoping. Pillars are widely used to support the openstopes. Little work has been done in the past to determine pillar strength and pillars have been designed using experience and formulae developed for other hard-rock mines. This has led to oversize pillars with consequential loss of ore or undersize pillars resulting in potential collapses or pillar bursts. This paper describes a back-analysis of pillar failures at Impala Platinum, just north of Rustenburg, and provides insights into pillar behaviour. Strength formulae are presented for Merensky Reef pillars at Impala. These formulae may be used cautiously on other platinum mines with similar geotechnical and geomechanical conditions.

Jan 1, 2008

By M. Q. W. Jones

This paper presents a compilation of physical properties of rocks from the Bushveld Complex. The database consists of more than 900 measurements each of thermal conductivity and density. The data are well distributed from localities around the Complex and most rock types are well represented. Thermal conductivity and density are shown to vary widely in the ranges 1.8-4.2 W m-1K-1and 2600-4200 kg m-3respectively. Although only 190 heat capacity measurements are available, this parameter is quite uniform for most rock types present, 800-900 J kg-1K-1, except for chromitite, which has a lower average, 750 J kg-1K-1. Rocks encountered in deep platinum mines are particularly well characterized and this has important implications for prediction of mine refrigeration requirements. The heat flux into a semi-infinite region with properties typical of the Bushveld Complex as a function of time is substantially lower than an equivalent model for the Witwatersrand Basin.

Jan 1, 2015

By C. Marais

The use of machine vision in the monitoring and control of metallurgical plants has become a very attractive option in the last decade, especially since computing power has increased drastically in the last few years. The use of cameras as a non-intrusive measurement mechanism not only holds the promise of uncomplicated sampling but could provide more consistent monitoring, as well as assistance in decision making and operator and metallurgist training. Although the very first applications of machine vision were in the platinum industry, no automated process control has been developed for platinum group metals (PGMs) as yet. One of the reasons is that to date froth features could not be related to key performance indicators, such as froth grade and recovery. A series of laboratory experiments was conducted on a laboratory-scale platinum froth flotation cell in an effort to determine the relationship between the platinum grade and a combined set of image features and process conditions. A fractional factorial design of experiments was conducted, investigating 6 process conditions, namely air flow rate (x1), pulp level (x2), collector dosage (x3), activator dosage (x4), frother dosage (x5) and depressant dosage(x6), each at levels. Videos were recorded and analysed to extract 20 texture features from each image. By using artificial neural networks (ANN), the nonlinear relationship between the image variables and process conditions and the froth flotation grades could be established. Positive results indicate that the addition of image features to process conditions could be used as sufficient input into advanced model based control systems for flotation plants. Keywords Flotation, machine vision, image analysis, neural networks.

Jan 1, 2011

By A. H. Onur

Many factors govern the size and shape of an open pit, and these must be properly understood and used in the short and long-term planning of any open pit and quarrying operation. The importance of each factor will depend on the particular project, but the geology, grade, and localization of mineralization, extent of the deposit, topography, property boundaries, production rates, bench height, pit slopes, road grades, mining costs, and cut-off grades are key elements of open pits. This paper discusses the work done on the above parameters in order to provide an optimal production plan for a limestone quarry and clay deposits that provide raw material for a cement factory in Turkey. Soke cement factory has 1 400 000 tons of clinker capacity and is located on the western part of Turkey, in the province of Aydin. It is one of the largest facilities in the cement sector in terms of capacity, and it has a large advantage over facilities because the location of the factory was chosen to obtain the raw materials necessary for cement production within very short distances. However, the old reserves that supplied limestone to the factory had been reported to have run out, and therefore new limestone reserves in the same province have been investigated over the years by experienced geologists. From surface samples, high MgO content was reported in the neighbourhood of limestone formations with high dolomatization; hence, other alternatives were taken into consideration. One alternative with better chemical composition had been found 24 km away from the factory, but the haulage cost of limestone was unacceptable for the factory due to high diesel prices in Turkey. The maximum allowable MgO content in the pre-mix feed to a rotating furnace is 2.5% MgO content in pre-mix from both limestone and clay deposits. The clay deposits belonging to the cement factory have higher MgO content than the limestone deposit, and therefore this quality problem was taken into consideration first, instead of transporting material from 24 km away. This study gives the details of work done to evaluate both the clay and limestone deposits, statistical analysis performed on core samples taken from drill holes, mathematical modelling for both sites, and most importantly of all, in-pit homogenization work that reduced the pre-mix MgO content. As a result of this study, the profitable limestone quantity has been improved in order to serve the cement factory over a projected 25 additional years without using any material from the close deposit.

Jan 1, 2008

By S. Y. Chen

A new process comprising metallizing reduction, magnetic separation, and electroheat melting separation is proposed with the aim of achieving high recoveries of iron, vanadium, and titanium from vanadium titanomagnetite. The effects of magnetic intensity, reduction temperature, reduction time, carbon ratio, and coal particle size on the efficiency of reductionmagnetic separation were investigated, the reaction mechanisms elucidated by SEM and EDS analysis, and the optimal process parameters established. Recoveries of up to 80.08% for titanium, 95.07% for iron, and 71.60% for vanadium were achieved. The reduction sequence is shown to be: Fe2O3 ? Fe3O4 ? FeO ? Fe; Fe2TiO5 ? Fe2TiO4 + TiO2 ? Fe + FeTiO3 ? Fe + FeTi2O5 ? Fe + TiO2.

Jan 1, 2014

By R. L. Castro

Block caving methods, when operated under favourable rock mass conditions, can achieve higher production rates and lower operating costs than other various existing underground mining applications. For this reason, it has been considered the preferred method for the mining of deep and large orebodies in current and future operations around the world. One of the key aspects in the design of block caves is the selection of the production level layout, which, among other parameters, is based on the gravity flow characteristics of the caved rock. This is because gravity flow has a large impact on total ore recovery and the amount of dilution in a caving operation. Today, there are a number of computer based methods which aim to emulate the gravity flow pattern of the caved rock. In this paper, the authors present the development of FlowSiman improved model of gravity flow based on the cellular automaton approach, to estimate dilution entry, mixing and ore recovery. As part of the model development, flow simulations were conducted and subsequently compared to full-scale data collected at two mine sectors operated by Codelco Chile. The results indicate that by using proper calibrated parameters, good correlations between simulated and measured grades as well as dilution entry are obtained. The potential use of the numerical tool to evaluate drawpoint spacing in terms of recovery and dilution for block/panel caving operations is also presented.

Jan 1, 2009

By R. Burger, M. Masukawa

Cato Ridge Alloys (CRA) is a joint venture company between Assmang of South Africa, Mizushima Ferro Alloy Company (MZK) and Sumitomo Corporation from Japan. Negotiations for the formation of the company started in 1992 with the joint venture agreement signed on the 19th September 1996. MZK was to supply the technical know how for the production of Medium and Low Carbon FeMn while Assmang was to manage the day to day activities of the company. Sumitomo Corporation was to act as facilitator between Assmang and MZK and, together with Ore and Metal are responsible for the marketing of the refined products. The conceptual design of the plant started in December 1996 and the first charge of molten high carbon ferromanganese metal was charged on the 19th January 1998. Problems experienced during the initial startup period were addressed resulting in substantial operational improvements. A build-up in the stock of fine metal was addressed through the development of a process to remelt the fine metal, the development of a market for fine metal and the upgrading of the crushing and screening plant to reduce the generation of fine metal. The mass yield from High Carbon Ferromanganese to Refined Ferromanganese was increased through the implementation of statistical process control, changes to the blowing patterns and the development of a sampling device for taking samples during the process. Converter refractory consumption was reduced. This was achieved on the converter by improving the cooling of the converters with the installation of cooling fans and cooling fins. The heating schedule of the converters was changed for improved refractory life. Production schedules were modified to allow cooling of the refractory between low carbon erromanganese charges. Additional changes made to improve operations were: ? Changing from mehanite casting trays to metal fines beds. ? Installation of sonic horns in the baghouse to prevent the bridging of dust. ? Improved welding on the lance tips.

Jan 1, 2004

By V. Arslan

In this study, effects of the inert constituents, such as ash, and the effect of blending coals with differing rank and composition on the plasticity of coal blends were investigated. The reference coal originated from the Zonguldak region, in the north-west part of Turkey. Firstly, the effect of coal ash on the plasticity of Zonguldak coal was determined. Secondly, the relationship between the plastic properties of the individual coals and those of the blended coals were identified. Some important relations were found, related to the characteristics of the individual coals. Ultimately, the manner in which the plasticity of Zonguldak coal was affected by blending with low volatile coals was investigated. Keywords: coal blending, coal plasticity, coke, fluidity, rank.

Jan 1, 2006

By R. G. B. Pickering

The hard rock gold and platinum mines in South Africa have seen little development in the technology of mining. Holes are still drilled in the rock?though the latest water hydraulic rockdrills will complete that task in two minutes compared with the eight hours for hand drilling. Charging up is with far safer explosives and with available initiation systems it is no longer necessary to run up the face lighting each fuse. Movement of rock in the stope is predominately by means of scraper buckets and scraper winches?these were first introduced in the 1920s. Support is still mainly rock, either in situ pillars or backfill, or alternatively wood. Just as the mining process has changed very little it is hardly surprising that the productivity of mining is also relatively unchanged. Major efforts have been made to mechanize the mining process. However, most of the narrow reef mines where ?trackless mechanized mining? was introduced in the early1980s have reverted to conventional mining. In the wider reefs mechanized mining is the option of choice, unfortunately most of the gold and platinum mines have very narrow reefs that are not suitable to ?off the shelf? equipment. The move to introduce room-and-pillar mining into the narrow UG2 reefs is at the expense of mining more waste with the reef, fortunately it appears that appropriate waste and reef separation processes are available. Room-and-pillar mining followed by long hole drilling and blasting of a narrow slot of reef out of the pillars currently appears to offer the best of both worlds?maximum reef recovery with minimum waste dilution.

Jan 1, 2002

By Y. I. Yang, Y. -B. Tang, D. -J. Ma

Chlorine-containing minerals are commonly present in coal. Associated minerals such as pyrite can undergo exothermic reactions. Consequently, it is of great significance to study the effect of inorganic chloride on the spontaneous combustion of coal. In this study, the effects of five inorganic chlorides (sodium chloride, magnesium chloride, potassium chloride, calcium chloride, and zinc chloride) on the spontaneous oxidation of coal were investigated. Analysis of the gaseous products of coal oxidization at low temperatures (323K to 453K) showed that the presence of inorganic chlorine in coal markedly decreases O2 consumption and the generation of CO and CO2. Samples of raw coal and chlorine-loaded coal were oxidized for 36 hours under the same experimental conditions. Infrared diffuse reflectance spectroscopy results showed that inorganic chloride can inhibit the oxidative decomposition of some functional structure components (methyl, methylene, methine, and hydroxy) in the coal. The influence of inorganic chloride on the oxidation characteristics of the functional groups in coal during spontaneous combustion was investigated using benzyl alcohol and 1-phenylpropanol as model compounds, which were tested under the same experimental conditions as the coal samples. The oxygen consumption of model compounds with and without the addition of inorganic chloride further suggested that inorganic chloride may hinder the oxygenolysis of these structures during low-temperature oxidation. This phenomenon can be attributed to the radical reaction from the perspective of radical chemistry. It can therefore be concluded that inorganic chlorides play an inhibitory role in the spontaneous combustion of coal.

Jan 1, 2015

Common practice in mineral resource estimation consists of partitioning the orebody into several domains defined by grade intervals, prior to the geostatistical modelling and estimation/simulation at unsampled locations. This paper shows the pitfalls of grade domaining through a case study in which we compare the performance of several estimation schemes and demonstrate that the use of domains defined by grade cut-offs implies a deterioration of the resource estimates, mainly in what refers to precision and conditional bias. Then, several conceptual limitations of the grade domaining approach are stressed, in particular the fact that it does not account for the spatial dependency between adjacent domains and for the uncertainty in the domain boundaries. Also, this approach is shown to be sensitive to the cut-offs that define the domains, to provoke artifacts in the kriging maps, histograms and scatter grams between true and estimated grades, and to lower the kriging variance, a feature that may impact the mineral resource classification. An alternative approach is finally proposed to overcome these limitations, based on a stochastic modelling of the grade domains and a co-kriging of the grades using information from all the domains. Keywords: geostatistics, kriging, conditional bias, geological control, grade zoning.

Jan 1, 2005

By S. Ngidi

Palabora Mining Company operates a low grade underground copper mine situated in the Limpopo Province, South Africa. Full production was first reached in May 2005 after a successful transition from an open pit operation to an underground block cave operation. The operation faces a number of technical and operational challenges, not the least being fragmentation of a competent rock mass and external dilution. The cave is subdivided into three main sectors being the east, the west and the central sectors. Caving was initiated from the weaker central sector, which has the majority of its drawpoints located directly under the open pit bottom currently filled with about 130 million tons of waste material from the pit wall failure incurred in 2004. About 48% of the ore reserve has to be extracted from the western sector, which has a much courser fragmentation compared to the other two sectors and only 25% from the central sector with the finest fragmentation. The main constraint during the ramp-up stage has been secondary breaking of drawpoint blockages. Ground-breaking secondary breaking and cave management initiatives and practices have made it possible for Palabora to realize and sustain high production rates.

Jan 1, 2007

By J. Kuijpers

Failure and fracturing are often regarded as synonymous. While this is obviously true in an environment dominated by tensile stresses, it is still not clear how failure and macro fracturing are related in a compressive stress environment. Excavations at great depths are typically subjected to compressive stresses only. The fracturing observed around such excavations is therefore commonly assumed to be induced by such compressive stresses. The physics of such a phenomenon have unfortunately never been explained properly, so that the formation of these so-called extension fractures still remains a mystery. As the presence of fractures is an important factor affecting the stability of underground excavations, it is of practical relevance to understand their formation. In this paper, a possible explanation is proposed. It is argued that fracturing in a compressive stress environment is a secondary effect. Primary failure, in the form of micro fracturing and associated damage is assumed to precede the major fracture processes. The fractures are thus generated in response to material failure and may not directly be the cause of failure. The implications for material response and behaviour are discussed. Keywords: micro fracturing, macro fracturing, extension fractures, failure, compressive stresses, damage, excavations.

Jan 1, 2000

By D. Hoffmann, S. Plumb

IRUP is an iron-rich ultramafic pegmatite rock that formed due to hot ironrich fluids and gases replacing local stratigraphic zones of the Bushveld Complex. This study focuses on the estimation of the probability of IRUP occurrence on the Merensky Reef at the Marikana Karee Mine. A 2.15 million centare IRUP-rich domain at the Karee Mine was initially defined from the interpretation of a surface aeromagnetic anomaly, and exposures in the mine workings. Surface boreholes (spaced 250-500 m apart) within this IRUP domain contain approximately equal numbers of IRUP-replaced and IRUP-free intersections. Owing to the uncertainty in the continuity of the IRUP alteration (a result of the wide borehole spacing), the risk associated with the development of mining infrastructure within this domain is unquantifiable. Semi-quantitative data comprising visual estimates of IRUP replacement from reef development mapping data and surface borehole reef intersections was interpolated into blocks using indicator kriging estimation. Comparative analyses of the estimate of IRUP occurrences were made by changing the block size and declustering the data systematically. Reconciliations of the probability of IRUP predicted from the block models derived from the different data-sets and sequential indicator simulation models were analysed for four mining study blocks. A quantitative approach to modelling the occurrence of IRUP can be an additional tool for refining the estimate of the geological losses that inform the mine plan in such high-risk zones.

Jan 1, 2015

By J. -C. Trickett

The high-resolution three-dimensional (3-D) seismic reflection data acquired for Impala Platinum between 1998 and 2002 in the western Bushveld Igneous Complex form an integral part of Impala?s mine planning and development programme. These data are of sufficiently high quality to provide unprecedented 3-D models of the geological structure of the Merensky Reef and UG2 Chromitite Reef, from which the mine deduces the size, geometry and distribution of mineable blocks. Conversely, the seismic data details zones of un-mineable ground caused by structural disturbances in the form of potholes, fault zones and pegmatoid intrusions. Furthermore, variations in dip and strike are well imaged, allowing the mine planners to optimize the mine design and layout. Current interpretation work is focused on enhancing the accuracy of these geological models even further through the analysis of ?seismic trace attributes.? Preliminary testing on the Impala Platinum 3-D seismic volume has shown that attribute analysis has the potential to illuminate a number of geological reef disturbances that are otherwise ?invisible? in the original seismic time volume. Potential areas of improvement include inter alia: ?Improved definition of major fault zones ?Improved definition of zones of reef depression (?slumping?) ?Identification of reef terracing and/or reverse dip. Keywords: 3-D reflection seismics; Impala Platinum Ltd; seismic attribute analysis; seismic micro technology (SMT); rock solid attributes; dip-azimuth; instantaneous phase and similarity.

Jan 1, 2005