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By Y. Zhen, N. Topliffe, G. Shou

The typical service life for a long distance slurry pipeline is15 to 25 years. Determination of wear rate for a pipeline could have a high economic impact on the pipeline project. Wear is a combination of chemical corrosion and mechanical abrasion. The contribution of each factor has to be determined project by project. Normally, chemical corrosion dominates the pipe wear in fine slurry pipelines. These pipelines have been designed with a velocity between 1.5 m/s and 2.5 m/s. Solids are suspended with high homogeneity across the pipeline section. Bottom wear is not much greater than the top wear and not sensitive to velocity. The wear pattern in the pipeline transporting medium coarse solids, such as milled ore and tailings, is different. Wear concentrates on the bottom of pipeline and the outer bends, and is more sensitive to flow velocity. Wear distribution along the pipelines is similar.

Jan 1, 2007

By R. Falcon, A. J. Ham

This paper summarizes the characteristics of Southern African coals, presents a fundamental approach to the combustion performance of coal, and reviews some of the recent developments in the fields of technological evaluation and boiler design for coals typical of this region. This includes a summary of the petrographic constituents of coa~ highlighting the differences between the Palaeozoic coals of the northern and southern hemispheres (Laurasia and Gondwana respectively), and the effects of these properties on the combustion performance of coal as seen in terms of laboratory, pilot-scale, and full-scale operating conditions. Recent developments in boiler design linked to advanced characterization studies and commercial experience have led to unprecedented use, with maximum effect, of the low-grade, high-ash, high-inertinite coals typical of some parts of this region. In the light of this success, more adequate understanding and better methods of assessment of the coals typical of the Gondwana region are called for, particularly in the light of the price premium for high-grade coal and the more cost-effective lower grade coals on the international steam markets.

Jan 1, 1988

The optimization of sample spacing In South African gold mines by J. M. RENDU*, Eng. Se.D., M.S. (Min.) U.S.A. (Graduate Member) A first attempt is made at optimization of sample spacing in South African gold mines. The De Wijs model, which is shown to give a good representation of the geostatistical properties of gold values, is used to analyse the influence of the distance between samples along a stope face on the error of estimation of the stope value. The influence of other factors such as the face advance before resampling, the sample density, and the stope size, is also considered. Practical conclusions are drawn concerning the optimum sampling policy to be followed in various situations, and it is shown that sampling on a regular grid does not necessarily give the best results.

Jan 4, 1976

By Lesley Andrews

"Electron microbeam analysis of metallurgical samples covers a broad field and has applications in the areas of minerals processing, hydrometallurgy, pyrometallurgy, physical metallurgy and corrosion.Some idea of the possibilities of microbeam techniques can be illustrated by examining the following example of a run of mine gold ore sample. Milling and bulk chemical analysis of the ore will provide major and minor element analysis as well as the gold grade. More detailed chemistlY can also reveal the presence of trace elements that may be advantageous or deleterious to downstream processing. Electron microbeam analysis can provide additional information in the form of - size, liberation, association and composition of the gold, the percentage of refractory gold, the size, liberation, association and composition of enclosing sulphide or arsenide phases and the levels and association of the trace elements that may affect processing. In most cases electron microbeam analysis compliments bulk chemistry, and does not replace it. Both techniques should be used in parallel for maximum effect.This paper touches on the origin and history of electron microbeam techniques, as well as the theory behind microbeam analysis and processing. The more common types of instruments and their applications will also be dealt with briefly - more details on, and examples of, the applications and choice of technique will be covered in the presentation.Mosely first discovered, in 1913, that the frequency of emitted X-radiation excited by an electron beam is a function of the atomic number of the analysed element. This discovery led to the development of spectrochemical analysis. The forerunners of the electron microanalysers of today, however, were only invented during the nineteen fifties. The electron microprobe was developed in parallel by Castaing and Guinier in France and by Borovski in Russia, but Castaing's design was the basis of modern microanalysers. The initial area of analysis was brought down from over 1 mm2 to less than 2 µm, as it is today. In 1956 Cosslett and Duncumb invented the scanning electron microprobe, where a beam of electrons could be scanned across an area of a sample. This, in turn, led to the development of the electron microprobe with both scanning and point analysis capabilities that we know today.Essentially, all electron microbeam instruments operate by the production of a beam of electrons from a filament in a vacuum (i.e. an electron gun). The electron beam leaves the gun and is accelerated and focused by a series of electromagnetic lenses while passing down an evacuated column. The electrons eventually strike the surface of the sample to be analysed and may travel through a thin sample (transmitted electron microscopy) or react with a thicker sample to produce several reflected kinds of radiation."

Jan 1, 2014

By S. Pathak, B. Nilsen

Abstract: In recent years, probabilistic approach with the calculation of probability of failure instead of a factor of safety against failure is emerging in practice. The main objective of the paper is to discuss a probabilistic approach in rock slope stability analysis for Himalayan conditions. Due to the fragile geology brought about by the tectonic movements along the hill slopes, dramatic variations of the topography and intensive surface runoff during every monsoon season, serious slope failures occur frequently in Himalayan region. Slope failures have also been triggered by seismic activities. The probabilistic approach is applied to stability analysis for a road cut along the Desander back slope of the Kali Gandaki hydropower project in Nepal. It is concluded that the probability approach offers a more accurate grasp of the actual condition than any factor of safety. Zusammenfassung: In den letzten Jahren ist es mehr gewöhnlich geworden, ein stochastisches Verfahren und eine Berechnung von der Wahrscheinlichkeit eines Zusammenbruchs statt einer Berechnung von Sicherheitsfaktoren zu verwenden. Das Hauptziel dieses Artikels ist das stochastische Verfahren in Stabilitätsanalyse von Gebirghängen, welches an Himalayische Verhältnisse angewandt worden ist, zu diskutieren. Wegen der spröden Geologie die durch tektonische Bewegungen entstanden ist und den dramatischen topographischen Variationen sowie viel Oberflächenwasser während des Monsuns, kommen in der Region des Himalayas oft mehrere erhebliche Abhangszusammenbrüche vor. Abhangszusammenbruche ist auch von seismische Aktivität ausgelöst worden. Das stochastisches Verfahren ist auch benutzt worden, um die Stabilität von einem Wegschnitt in dem Desander Gebiet von dem Kali Gandaki Wasserwerk-Projekt zu analysieren. Die schlussfolgerung ist, dass die Ergebnisse eines stochastisches Verfahren die wirkliche Verhältnisse eines Abhangs besser beschreibt als der Sicherheitsfaktor. Résumé:- Ces dernières années, une approche probabiliste basée sur le calcul d’une probabilité de cassure au lieu d’un facteur de sécurité préventif d’une cassure est de plus en plus utilisée. L’objectif principal de ce papier est de discuter une approche probabiliste de la stabilité de versants rocheux en himalaya. Due à la fragile géologie causée par les mouvements tectoniques sur les versants de collines, aux dramatiques variations de topographie, ainsi qu’au lessivage intense du relief à chaque mousson, de sérieux glissements de terrains se produisent fréquemment en Himalaya. Les glissements de terrain sont aussi déclenchés par l’activité sismique. Cette approche probabiliste est appliquée aux analyses de stabilité d’une section de route le long du versant arrière Desander du projet « hydropower » du Kali Gandaki au Népal. On en conclut que l’approche probabiliste offre une estimation plus précise des conditions actuelles que n’importe quel facteur de sécurité.

Jan 1, 2003

By F. H. Deist, J. P. E. Morris, E. Georgiadis

For some years the Collieries Research Laboratory of the Chamber of Mines of South Africa has been engaged in the development and application of computer programmes to aid in the solution of rock mechanics problems. It is the purpose of this paper to introduce some of the programmes having general applicability. A system capable of predicting stresses and displacements induced by large-scale tabular excavations is discussed. A finite element programme especially designed for handling layered continuum problems, and which is being used extensively has been supplemented by an automatic mesh generation facility that reduces problem preparation times considerably. Some typical applications of these programmes are described. An entirely new approach, potentially capable of performing linear three-dimensional continuum analysis at practical cost is introduced.

For the past 12 years, the Universities of Stellenbosch and Cape Town have hosted an annual symposium to discuss research topics in Minerals Processing. Since 1987, this meeting has been held under the auspices of the Western Cape Branch of the South African Institute of Mining and Metallurgy, and has enjoyed much national and international support. In 1993, in place of the usual Symposium, the Branch and Universities collaborated with CSM Associates Ltd and Minerals Engineering Journal is organizing the international Minerals Engineering '93 Conference in Cape Town.

Jan 1, 1993

By V. M. Lovell, N. P. Finkelstein

The concepts involved in flotation research are discussed and aims are presented. Three different methods of investigation can be used, all of which are applied at the National Institute for Metallurgy (N.I.M.), and these are the empirical, trial and error method, the chemical engineering method, and the physicochemical approaches. This paper is devoted to the last of these. Because of the complexity of the physicochemical interactions involved, the work has, to a large extent, been concentrated on only one aspect, viz. the interaction between the mineral surface and reagents in solution, which was considered of major importance in the understanding of the process. The aspects on which work has been done are the concentration of uranium, the reaction between salt minerals and fatty acids, mixed xanthate-cationic collector systems, and the reaction between sulphide minerals and thiol reagents. Selected problems from the first two of these are discussed in some detail and deal with the agglomeration flotation of uranium and the chemical control of the flotation process for phoscorite. A detailed discussion is also presented of the progress made in the understanding of the interaction between sulphide minerals and thiol reagents, which is of more general application. Finally, an indication is given of the future direction of physicochemical research at the N.I.M.

By J. C. Coetzee

In this article, a case is made for the importance of the transfer and management of tacit knowledge to ensure continued sustainable competitive advantage within the pyrometallurgical industry in South Africa. The state of knowledge management (KM) is assessed through a theoretical and empirical study. The empirical part of the study was conducted by means of a survey questionnaire. An important prerequisite within the research entailed determining the current state of KM within the pyrometallurgical industry, and the findings are presented throughout this article. The research argues for initiatives to address the high turnover of pyrometallurgical knowledge workers. This industry needs to entrench tacit knowledge and therefore address the problems associated with the continuous loss of inherent specialized knowledge. Appropriately, emphasis is placed on identifying initiatives required to embed and retain not only human capital lost through mobility, but rather retaining tacit knowledge through a practical KM framework.

Jan 1, 2012

Performance testing is often used by project owners and financiers to provide protection from, or assessment of, technical aspects of project design, procurement, construction and commissioning. The performance tests can range from comprehensive performance warranties relating to process performance and production in the case of lump sum turn key (LSTK) projects to less onerous demonstration tests for cost reimbursable contracts. This paper will discuss performance testing from both the contractor's and owner's perspectives and focuses on: ? when performance tests are required, ? what type of performance test/warranty is optimum for each type of project, and ? how project performance should be evaluated. The requirement for performance testing can be driven by the project financiers, particularly in the case of smaller resource development companies. In such cases, differentiation between owner's risk and contractor's risk can become contentious. At the other end of the spectrum, larger mining houses may choose to heavily influence the engineering and design process with the contractor supplying services on a reimbursable basis. In that case, the performance testing process is often limited to demonstration tests that validate performance for the owner's corporate governance requirements. This paper was prepared due to the lack of published benchmarking of performance testing and the resultant differences in expectations between a contractor and a project owner that often surface late in the contract negotiation process. The paper provides a checklist of requirements for both the owner and the contractor that may be used to provide `common purpose' early in the contract negotiation process.

Jan 1, 2007

By J. A. L. Napier

By use of a functional model of capital expenditure developed earlier, a prototype cash-flow model is formulated as a basis for the investigation of the economic consequences when the production rate of a mine is manipulated as fundamental design variable. The optimum production capacities that maximize the common economic criteria of net present value, present-value ratio, and wealth growth rate are determined. It is shown that these choices depend certain key groupings of the economic parameters, and that they have a fixed interrelationship. The basic cash-flow model is extended further to include the effects of a constrained rate of production buildup and the imposition of State taxation on generated income. An approximation to the initial tax-free period of a new mining venture is developed, and, by use of these results, the optimum choice of production level is analysed when both the buildup rate is constrained and tax is imposed. This extended model permits a comparison between the performance of existing mines and the predicted theoretical production levels for these mines.

Jan 1, 1981

By H. H. McGregor

SYNOPSIS Changes in the national productivity (gross national product per head of the population) have been assessed in order to derive a target figure for the required annual increase. The conclusion reached IS compared with the targets of the economic development programme of the Republic. Productivity and management structure in the gold mining industry is then analyzed together with investment in plant, machinery and equipment for rock handling purposes. The conclusion is drawn that productivity improvement does not appear to have accorded with the massive expenditures in plant and equipment, and in augmented management. The productivity of the manufacturing and construction sectors of the economy has been examined. The principal difficulty is that the main avenue of approach is the value of product divided by the total labour force. This introduces inflationary questions, and the use of a suitable deflator becomes of prime importance. Severa1 different methods of assessing the productivity improvement in the industrial sector have been used with what is regarded as a comparatively high degree of compatibility. Improvements in productivity in the manufacturing industry up to 1966 appear, from the information available, to have substantially exceeded comparable figures for the mining industry. There is however evidence that thereafter productivity of the manufacturing industry has not maintained this satisfactory rate of increase. If the economy is to achieve the planned rate of expansion, there is no doubt that greater attention to this aspect will be required in the future than has been accorded to it in the past.

Brigadier R. S. G. Stokes of Sherborne, Dorset, is the oldest surviving member of the South African Institute of Mining and Metallurgy. He joined in 1904 and has been a member for 77 years. Book review Sittig, M. Hand book of catalyst manufacture. Park Ridge (U.S.A.), Noyes Data Corporation, 1978. The detailed information in this book is based on patents issued in the U.S.A. that deal with catalysts and their commercial technology. Project management The South African Institute of Mining and Metallurgy is to hold a Colloquium on Project Management in the Metallurgical Industry in March 1980. Ingenieurs-in-opleiding in die weermag Op 'n onlangse vergadering van die Suid-Afrikaanse Raad vir Professionele Ingenieurs is daar besluit om kwytskelding van jaargeld aan geregistreerde ingenieursin- opleiding wat tans met hulle tweejaar nasionale diensplig besig is, te verleen met dien verstande dat.... Engineers-in-training in the army At a recent meeting of the South African Council for Professional Engineers it was resolved that a remission of annual fees would be granted to registered engineers in- training who are doing compulsory two-year national service, provided that.... Processing of fine particles The Society of Mining Engineers of AIME is organizing an International Symposium on Fine Particles Processing, which is to be held in Las Vegas from 24th to 28th February, 1980. Economics of precious metals International Precious Metals Institute announces a Special Course for all interested in economic aspects of today's precious metals.

Jan 1, 1979

By J. H. French, O. E. Lissner

S. J. Venning (Member): The authors should be congratulated on producing such concise data from the plethora of experimental report results. Their observations on the cost of liners calls for some comment however, as the really unique feature about liners in South Africa is that they can be obtained so cheaply. Attention has been focussed on the 1961 cost of white iron at R50 per ton for chill cast block liners while manganese steel liners are reported as costing as much as R250 per ton. The former are however, a relatively heavy, simple casting with a low labour content and reasonably high percentage productivity, made from metal melted in a cupola. The capital investment to produce this type of casting is low compared with that required to produce manganese or other alloy steels. The chill cast liner block is always a production item and is cast in a permanent mould. Almost all manganese mill liners, except perhaps small aperture screens, are sold for considerably less than the R250 per ton quoted by the authors. Where a price of this nature is asked it would be because the design of the casting demanded is complicated or leaves little metal to carry the labour and other costs of production. As reference has also been made in the paper to liner costs in America, prices for similar types of liners obtained during a visit to Canada and the U.S.A. in 1961, could be of interest: Material Price per Location short ton Ni-hard R250 Elliot Lake Body liners block type Ni-Hard R300-310 FAS New York Mn Steel R280-290 FAS New York Screens (grids) slotted Cr.Mo. Steel R600 FAS New York hole Ni-Hard R320 Elliot Lake At this time the price of comparable manganese steel block type liners on the Witwatersrand was between R145/R155 per short ton. White iron in Canada was then quoted at about R150 per ton, but as Ni-Hard gave a life of at least two to twoand-a-half times that of white iron, it was a much more attractive proposition particularly when relining and down time costs were taken into consideration. There is little doubt that most foundries would welcome clear and complete specifications of the customers requirements and systematic checks to ensure that these specifications are being met. B.S.S. or other accepted standards should form the basis of these, and periodic inspections should be undertaken to ensure that only those foundries capable of complying should be included as suppliers. The authors have referred to new designs, but can the industry really call the grid and plate new when the patents were taken out during the second world war and the sawtooth block has been used for at least 35 years. Unfortunately, far too little thought and consideration are normally given to the ultimate mill liner design while the mills themselves are on the drawing boards. The position and size of the door opening, which is the key to the ultimate shell liner configuration, the drilling of the

Jan 9, 1968

The following notes have been compiled to assist authors in the preparation of papers for presentation to the Institute and for publication in the Journal. STANDARDS FOR ACCEPTANCE To merit consideration papers should be of sufficient high standard and contain matter that is new, interpretations that are novel or of new significance and conclusions that cast a fresh light on old ideas. Their publication should be of real interest to technical men and of benefit to mining and industry. Authors must realize that because a mine shaft is new or the mine itself is newly established, this in itself does not justify a paper unless significantly new techniques or processes were involved in the opening-up procedure. A few well selected diagrams and illustrations are often more pertinent than an amorphous mass of less well chosen material. Over-statement and dogmatism are jarring and have no place in technical writing. The amount of textbook material included in a contribution should be the minimum essential to the argument. The length of a paper is not the criterion of its worth and it should be as brief and concise as possible, consistent with the lucid presentation of the subject. Avoid the use of the first person, be objective and do not include irrelevant or extraneous matter. Papers should be submitted at least three months prior to the intended date of presentation. The text should be typewritten, double-spaced, on one side only of foolscap paper, leaving a left-hand margin of 11/2 inches, and should be submitted in duplicate to facilitate the work of the referees and editors. Galley proofs are sent to the authors for the correction of printers' errors and not for the purpose of making alterations and additions which may be expensive. Should an author make alterations which are considered excessive, he may be required to pay for them. ORTHODOX SEQUENCE Title and author's name together with author's degrees, titles and position Summary, abstract or synopsis Introduction Development of the main substance Conclusions References. Title: This should be as brief as possible, yet give a good idea of the subject and character of the paper. Style: Writing should conform to certain prescribed standards. The Institute is guided in its requirements by: Collins, F. H. Authors' & Printers' Dictionary-Oxford University Press. Hart, H. Rules for Compositors and Readers. Humphrey Milford (familiarily known as the Oxford Rules). Fowler, H. W. & F. G. The King's English-Oxford University Press. Generally: Avoid unnecessary use of capitals and hyphens, while punctuation should be used sparingly and be governed by the needs of sense and diction. Sentences should be short, uninvolved and unamiguous. Paragraphs should also be short and serve to separate basic ideas into compact groups. Quotation marks should be of the 'single' type for quotations and "double" for quoted matter within quotations. Interpretations in the text should be marked off by parenthesis ( ), whereas brackets [ ] are employed to enclose explanatory matter in the text. Words to be printed in italics should be underlined singly. For small capitals they are to be underlined DOUBLY and for large capitals TREBLY. Abbreviations and symbols are laid down in British Standard 1991 and proof correction symbols in British Standard 1219c. Abbreviations are the same for the singular and plural, e.g. ft for foot and feet, lb for pound and pounds. Percentages are written in the text as per cent; the symbol % is restricted to tables. Likewise ft and in. should be used, x' y" only being permissible in diagrams and plans. Drawings and diagrams are to be in black India ink and should be about 6 in. wide. Numbering of tables should be in Roman numerals: 1, 11, etc. and figures in Arabic numerals: Fig. 1, Fig. 2, etc. Photographs should be black and white glossy prints. As a guide to the printer the author should indicate by means of notes in the margin of the typescript where drawings and diagrams, etc. are to appear in the text. When submitting graphical representations avoid a fine grid if possible. Curves should be in heavy line to stand out. Lettering too should be bold as a reduction in size is often involved in the printing process. SUMMARY ABSTRACT OR SYNOPSIS It is most important that the summary should provide a clear outline of the contents of the paper, the results obtained and the author's conclusions. It should be written concisely and in normal rather than abbreviated English and should not exceed 250 words. While the emphasis is on brevity this should not be laboured to the extent of leaving out important matter or impairing intelligibility. Summaries simplify the task of abstractors and therefore should present a balanced and complete picture. It is preferable to use standard rather than proprietary terms. FOOTNOTES AND REFERENCES Footnotes should be resorted to only when they are indispensable. In the typescript they should appear immediately below the line to which they refer and not at the foot of the page. References should be indicated by super-script, thus . . .1 . . . 2. Do not use the word Bibliography. When authors cite publications of other societies or technical and trade journals, titles should be abbreviated in accordance with the standards adopted by this Journal.

By E. Wroth, D. G. Krige

Written contribution E. Wroth* (Visitor): The technical aspects of the assistance scheme which IS provided for in the Gold Mines Assistance Act, 1968, and certain consequential amendments to the Income Tax Act, 1962, are explained by Dr Krige. The object of this contribution is to explain the working of the Gold Mines Assistance Act (hereafter referred to as the 'Assistance Act') for the benefit of those concerned with the tax and assistance assessments of gold mining companies. The views expressed do not necessarily reflect the Revenue Department's interpretation of the legal provisions involved. 1. MINES WHICH QUALIFY FOR ASSISTANCE 1.1 The assistance scheme is applied on a selective basis. Mines which qualify for assistance are defined in the Assistance Act as 'assisted gold mines'. The requirements for classification as an assisted gold mine are that: (i) the mine be a producing gold mine; (ii) it would be likely to close down within eight years if not assisted; and (iii) with State assistance its life would be appreciably prolonged and there would be a significant increase in production of gold or uranium, or of both gold and uranium. 1.2 A mine is only considered for classification as an assisted gold mine on application. Such applications must be made to the Mining Leases Board through the Government Mining Engineer. Classification of a mine as an assisted gold mine is at the discretion of the Minister of Mines who acts in consultation with the Minister of Finance and has regard to the recommendations of the Mining Leases Board. 1.3 The Minister of Mines will impose conditions subject to which a mine is to be classified as an assisted gold mine. The most important will be that the mine must immediately lower its operating pay limit, as normally calculated, by a percentage fixed by the Mining Leases Board and conduct its future mining operations in accordance with the average grade of its ore reserves determined on the basis of such lower pay limit. l.4 The Minister will fix the date as from which classification as an assisted gold mine is to be effective. So long as the mine has operated on the basis of the lowered pay limit for at least three months during the particular year of assessment, he would normally fix the effective date as the first day of the year of assessment.

Jan 5, 1968

By L. Wade

The advent of relatively cheap computing power has precipitated a rapid growth of computer usage in the mining industry. In order to obtain most benefit from this development a need is recognised for the future mining graduate to be trained in computer literacy. This paper outlines the type of training required and describes progress to date with such a programme at the University of the Witwatersrand. Certain challenges concerning the teaching effort are discussed.

Jan 1, 1987

By L. A. Vermeulen, D. D. Howat

The use of pebbles as the medium in the grinding of quartz gravel in a laboratory mil provided experimental data that were used to quantify the relationships between the feed rate of ore to the mil, the fineness of grind of the product, and the wear rate and consumption of the grinding medium. Fineness of grind is expressed as the inverse of the harmonic mean size, a quantity that is calculated from data obtained by sieve analyses. The commonly used criterion for fineness of grind (the percentage of material smaller than 75 µm in the mil product) is shown to corelate approximately linearly with the inverse of the harmonic mean size. An increase in the feed rate was found to cause the harmonic mean size of the product to increase linearly, Le. the relationship previously found for metalic grinding media is applicable to al grinding media, irespective of shape or composition. Simple expressions for the consumption and wear rate of pebbles are derived from the experimental data, and are shown to be functions of the feed rate. The expression for wear rate is a monotonicaly increasing function, while that for consumption is a hyperbolicaly decreasing function of the feed rate. In contrast, a linear relationship was found between the rate of wear of the grinding medium and the rate production of fines. The expressions that were previously developed in relation to the use of metalic grinding media are shown to be equally applicable to pebble milling.

Jan 1, 1988

By A. Ball

A fully instrumented laboratory drilling machine is described. It is designed to produce realistic drilling conditions with diamond microbits of 20 mm diameter. A computer-controlled data-logging system records the net power consumption, rotational velocity, bit thrust, torque, and penetration rate. Tests can be conducted under conditions of set thrust and rate of advance. In the tests reported, there is a significant correlation between the rock drilability and the measured rock properties of relative abrasion resistance and uniaxial compressive strength. Wear of a diamond bit is a crucial factor that cannot be determined simply from rock properties. Realistic drilability testing with appropriately scaled microbits is a convenient and economical way of evaluating diamond-bit performance and determining rock drilability.

Jan 1, 1990

By deur R. R. Mears

The expected curtailment of activities within the gold-mining industry by the closure of the more marginal mines, and the shortening of the life of the industry as a whole as a result of rising costs and/or an uncertain gold price, are factors that are bound to harm the South African economy in a number of ways. The industry has no option but to regard the gold price, which is determined on the world market, as a given quantity. The remaining ore reserves al tend to be of a lower grade and/or to be found at greater depth. Therefore tighter control of working costs would seem to be almost the only option open to the industry. Working costs can be divided into two broad categories: costs emanating from the environmental characteristics of the orebody, and costs emanating from the general inflationary environment in which the industry has to purchase its inputs. Working costs stemming from the physical environment also fall into two categories: those relating to the grade of the orebody, and those resulting from working at increasing depth and temperature, together with the need to pump increasing quantities of water. The industry is both capital- and labour-intensive in absolute terms, since it requires large inputs of labour as well as of capital. It is limited in its scope to adjust its production function by becoming more labour- or more capital intensive, and is dependent on a large labour force, which cannot easily be replaced by capital inputs. On the other hand, large amounts of capital are required for investment in shafts, development, machinery, and equipment. Since the early seventies, the working costs of the South African gold-mining industry have increased at an annual rate that was significantly higher than the general rate of inflation. This rapid rise in working costs has caused some mines to find themselves in a difficult profit position. At times, the gold-mining industry has even been compelled to restructure its cost/revenue relationship rather fundamentally by revising the grade of ore worked sharply upwards or downwards, as the case may be. The rise in the gold price since 1972 has made it possible for the industry to introduce significant changes in its Black wage policy. The main aim was to increase the permanency of the Black labour force and to encourage local Black workers to join the industry. At the same time, significant increases were also experienced in the cost of machinery and stores, as well as of capital, mainly as a result of inflation. In the study on which this paper is based, the author attempted to measure the influence of environmental factors on working costs, using the physical consumption of electricity as a criterion for measurement. He found that the usefulness of this criterion in relation to factors such as depth, temperature, and water quantities pumped was invariably more than neutralized by the effects of greater productivity and economies of scale. The effects of these environmental factors on the working costs of the industry could therefore not be determined to any degree of accuracy. It seems that good progress is being made with the development of capital-intensive forms of technology aimed at coping with rapidly rising working costs and other effects of increasing depth. Techniques are also being developed to improve rock-cutting procedures and to eliminate the use of explosives in order to introduce a continuous mining process. On the whole, the gold-mining industry seems to be more sensitive to general inflationary pressures than to the cost effects that are associated with depth, temperature, and water quantities pumped. Greater control is possible over physical environmental factors such as the grade of ore mined, temperature, rate and nature of development of a mine, and adaptation of the daily working cycle to a continuous mining process. Wolfe and others hold the view that the industry will lose control over labour costs as a result of the 'sharp increase in wages and the growth of Black trade unions. However, the use of more capital-intensive technology will allow the industry to reduce its labour force, and a smaller, better-trained, and more permanent labour force will enable the industry to cope with the increasingly difficult physical environment and higher wages.

Jan 1, 1987