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By D Xu

BHP Billiton Iron Ore is one of the world’s premier suppliers of iron ore. It currently has operations in Western Australia and Brazil and also has some iron ore interests in West Africa.BHP Billiton’s Optimisation R&D team has developed a proprietary mine planning optimisation tool that uses a mixed integer linear programming (MILP). This tool is called Blasor and it is used to rapidly evaluate the resource development potential (RDP) scenarios for the company’s business development strategy. In addition it generates life of asset (LOA) mine plans for the company’s operations and growth projects. The Blasor optimiser maximises the discounted operating cash fl ow (DCF) as the objective function, subject to mining, processing and transportation capacity constraints and blended product quality constraints. The paper will outline how Blasor has been applied to the resource development potential (RDP) strategy scenario studies, growth project evaluations and LOA mine planning within BHP Billiton Iron Ore.The practical application of Blasor to resource planning optimisation within BHP Billiton Iron Ore has demonstrated the value of such a tool for optimising strategic directions through the evaluation of a number of carefully proposed scenarios and maximisation of operational decisions, such as cut-off grade, open pit development sequence, etc. Particularly for the company’s business development direction studies, Blasor plays the role of a fair valuation tool in that it discovers the most valuable resource development scenario, thus establishing a sound basis for comparing the economic merits of each scenario.

Jul 11, 2011

By C Hamilton

Stawell Gold Mines (SGM) is an underground mining operation located in Victoria, Australia. The mining method employed is long hole retreat stoping, utilising up and downholes and artificial concrete pillars. Stawell is currently mining the Golden Gift and Magdala orebodies.Access to the Magdala and Golden Gift deposits is via 6.0 m wide by 5.5 m high declines developed at a gradient of one in eight to one in seven from the surface to a depth of 1500 m, with a planned depth of 1650 m. From the declines, cross cutting drives are developed to intersect the orebodies. Orebodies in the Gift system are discrete lodes which are generally mined from a bottom up centre retreat to minimise geotechnical stresses.Ore development fronts are currently located between 1000 m and 1500 m below surface, with all ore being hauled to the surface using a fleet of 60 tonne underground trucks. With the use of conventional pyrotechnic long period (LP) delays, broken rock of combined ore and waste is thrown 10 m from the face and the materials hauled to the surface. The majority of the mullock from development is consumed in the underground as backfill.With the use of Orica Mining Services eDev™ Electronic Blasting System for Tunnelling, the waste is thrown up to 40 m from the face, while majority of the ore is left 5 - 10 m from the face, effectively segregating ore and waste. This enables significant recovery of gold values with minimal loss and significantly reduced dilution. By using this technique in ore drives with a 30:70 waste to ore ratio, SGM is able to haul 24 000 tonnes less mullock to the surface annually. Resue mining is applied to narrow vein headings and gives a 40 per cent grade increase at the faces as well as increasing the economic footprint of development. This will also contribute to an improved grade profile for the year from 3.98 - 4.16 g/t Au and allow extra capacity for ore haulage from stoping and for milling.This paper describes the application and the successful blast outcomes achieved using the eDev™ Electronic Blasting Systems for resue mining at SGM. Results to date, since commencement in March 2010, have been achieving significant benefits in terms of ore grade as confirmed by geologists grab sample grades. Face advance have also shown improvement with better breakage of perimeter holes giving improved face profile. These benefits are delivering increased productivity and safety performance when compared to other resue firing techniques.

Mar 21, 2011

By N Khalili, J Zhao, G F. Zhao

Toppling failure of a jointed rock slope was studied by using the distinct lattice spring model (DLSM). Compared with the classical discrete element model, the DLSM has the advantages of free calibration of micro-mechanical parameters and easy to represent discontinuities, and is more computationally efficient. In this work, the DLSM was used to investigate the toppling failure of jointed rock slopes. The numerical simulation was verified against experimental data from a centrifuge model test on a jointed rock slope. Both the horizontal deformations and failure pattern observed in the centrifuge test were reasonably reproduced using the DLSM. Then, the mechanism of the flexural toppling failure was studied numerically by using a parameter analysis. Finally, some insights were derived that may be useful for practical engineering.CITATION:Zhao, G F, Khalili, N and Zhao, J, 2014. Application of the distinct lattice spring model on toppling failure of a jointed rock slope, in Proceedings AusRock 2014: Third Australasian Ground Control in Mining Conference , pp 207–214 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 5, 2014

By A E. C Peres, P R. M Viana

The role of flotation columns in comparison with conventional mechanical flotation cells is discussed under the scenario of Brazilian flotation technology. All iron ore concentrator circuits commissioned since 1990 incorporated column only flotation technology in rougher, cleaner, scavenger configuration. Columns were also added to existing circuits, especially at the cleaner stage. Columns were also incorporated to phosphate ore flotation circuits operating mechanical cells. In two phosphate concentrators, columns substituted for all mechanical cells. Columns perform the cleaning stage in a large sulfide copper concentrator, following rougher flotation in tank cells. Scavenger of the cleaner tailings is performed in tank cells at this plant. Other ores that are concentrated in flotation columns include graphite, talc, lead-zinc sulfide, and a zinc hydrometallurgical residue for silver recovery.

Jan 1, 2005

By E Williams

The role and importance of a well designed test work program during the development of an orebody is often underestimated. A test work program should be tailored to deliver very specific answers to relevant questions. With a clear purpose, the results from the test work program will enhance the outcome of the feasibility study and provide the information required to meet the requirements of all stakeholders. With regard to test work programs there are three main areas that should be considered: orebody characterisation and definition, process flow sheet development and engineering design information.Orebody definition relies on reliable analytical methods to characterise and assess the economic minerals present in the ground. In mineral sands, the physical processing characteristics of the minerals play a significant role in the definition of an orebody. The analytical method therefore has to be customised using a combination of laboratory techniques. These techniques can include heavy liquid separation, gravity separation and magnetic separation and are usually combined with chemical and mineralogical analyses to create a picture of the orebody. During the definition phase of test work programs, an appropriate analytical technique has to be developed to evaluate drilling samples, but also to support the information collected during flow sheet development.Process flow sheet development is usually done once there is a reasonable understanding of the size and variability of the orebody. Selecting the best sample for test work is critical, as any flow sheet design is tied to the specific characteristics of the sample used for development. There are other factors that can improve the outcomes of flow sheet development test work, including the skills and knowledge of the operator and allowing sufficient time to process and analyse the results. Very often this work is conducted under pressure with limited time and resources, only to result in a suboptimal flow sheet. During this phase of flow sheet test work, iterative testing will provide the information required to develop an optimal metallurgical flow sheet. The data collected will provide indicative recoveries and yields that are required for feasibility studies.Equipment specification is often included as part of process flow sheet development. This includes comparative test work between different equipment suppliers, assessment of operating conditions such as the loading to determine the number of processing units required, as well as other design information required such as particle size distributions, density and operating temperatures.While restricting the time and costs expended on test work programs may seem to meet a short term need to meet investor requirements, neglecting to develop a proper framework of the requirements that has to be met in the long-term can lead to significant long-term cost overruns. This is mainly due to a need to repeat test work, or do confirmation test work, as insufficient information was collected during the initial program.

Oct 5, 2011

By J Jackson, K Nguyen, A Nguyen, E Manlapig

"With the recent advancement in drill core imaging systems, a large volume of high resolution drill core images can now be rapidly collected and mineralogically classified. This paper introduces a novel semi-automated method for rapid prediction of process engineering parameters from this type of image. The aim is to allow for a rapid and low-cost assessment of the ore processing variability within a mineral deposit with a reduced amount of metallurgical test work. This method will see its application primarily in the project evaluation phase, where proper evaluation of the processing variability of the orebody normally requires a prolonged and costly metallurgical test work program. Applying this image-based texture analysis method on the mineralogical classified drill core images, the ores are classified according to their textures. For each engineering parameter, a small number of physical test work is required to produce a data set for training and testing of the predictive model. The paper also presents a case study in which this method has been applied to predict the A*b parameter used in mineral process plant design.CITATION:Nguyen, A, Jackson, J, Nguyen. K and Manlapig, E, 2016. A New Semi-automated Method to Rapidly Evaluate the Processing Variability of the Orebody, in Proceedings The Third AusIMM International Geometallurgy Conference (GeoMet) 2016, pp 145–152 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Jun 15, 2016

By Cloutier JY, Quinn P, LeClerc A, Dube G, Agar GE

Gold dissolution by cyanide requires the presence of oxygen which is usually supplied by sparging compressed air into the gold containing slurry. For those ores that contain certain obnoxious substances that consume oxygen, maintaining the required minimum level of dissolved oxygen can be troublesome. One of the most economical solutions to the problem of low dissolved oxygen, especially in plants that have air compressors installed, is to enhance the rate of oxygen mass transfer. The oxygen mass transfer rate was measured in a two phase system using two different sparger arrangements, and with addition of a frother that is known to reduce the bubble size produced by the sparger. The common sparger system was shown to be inefficient compared with a readily available but under utilised method of gas dispersion which introduces air directly below the reactor turbine. Transfer of this technology to an operating plant confirmed the beneficial effect of the improved sparger system. The addition of the frother did decrease the bubble size, but it also reduced the oxygen mass transfer rate.

Jan 1, 1993

By M Fritz, B Ziegelaar

"For moisture samples, the International Standard for iron ore sampling states the following: Moisture samples shall be processed as soon as possible and test portions weighed immediately. If this is not possible, samples shall be stored in non-absorbent airtight containers with a minimum of free air space to minimise any change in moisture content, but should be prepared without delay. ISO 3082 (2009)Prescribing what to do is of course easy. Putting it in practice is, however, a little more problematic.The iron ore industry has seen quite some changes in the last ten to 15 years, such as: a large increase in the volume of seaborne trade new ore types and blends coming onto the market new mines, processing plants and port facilities producing more and loading faster an increase in wet processed ore products a dramatic rise and then equally dramatic fall in the iron ore price followed by a recent recovery.All of the above have had an effect on sampling facilities. The large increase in volume coupled with ambitions such as labour efficiency, safer operations and higher precision has driven the installation and retrofitting of automated sampling and robotic sampling preparation plants in order to keep up with increased quality control.Designers of sampling facilities are invariably instructed to build plants that comply with ISO 3082. In general this means that the plants are compliant in respect of the number of primary increments, gross sample masses and sample division rules. The clause at the beginning of this abstract is mostly overlooked as it only appears in a section (4.1) describing the basic requirements of a sampling system.An error of 0.1 per cent in moisture changes the value of 1 Mt of iron ore at US$50/t by US$50 000. At 700 Mt/a of Australian iron ore exports, this is US$35 M. Frequently, errors from 0.5 to 1 per cent in moisture measurements are encountered.In comparison an error of 0.1 per cent Fe is US$0.081 (US$50/t and 62 per cent Fe base) per tonne, that is US$81 000 per Mt or about US$51 M for the same Australian annual iron ore exports.It is somewhat mystifying that we in the ISO Technical committees spend extraordinary energy (= money and time) on improving measurement techniques, whilst the big costs are in sampling errors. This is particularly true for moisture measurement. Our paper quantifies some of the sources of moisture measurements errors and suggests mitigating actions.CITATION:Ziegelaar, B and Fritz, M, 2017. Sampling for the percentage moisture in the iron ore industry, in Proceedings Eighth World Conference on Sampling and Blending, pp 271–274 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

May 9, 2017

THERE are few industrial and metallurgieal processes which do not require the application of heat energy, and the modern demand for increased working efficiency has resulted in attention being paid to temperature control as a means of ensuring fuel economy and more efficient plant operation. In general, mill accuracy required is not very contant in laboratory work, and few industrial operations are controlled to within less than 5° while in many cases greater limits are allowable. Almost every thermal property of matter has been suggested as a basis for the construction of pyrometers, but the thermo-electric type finds by far the widest application, and hence this paper will deal only with the principles, construction, and uses of this type of instrument. THERMOELECTRIC PYROMETRY.In the year 1821 Seebeek discovered that if the ends of two dissimilar metal wires were joined and one junction heated, a current flowed in the circuit, and the KMF (electro-motion force) set up could be measured by inserting a galvanometer at the cold junction. The phenomenon was not thoroughly investigated for many years, but, as the demand for high-temperature thermometers increased, several investigators, of whom Le Chatelier was one of the pioneers, successfully endeavoured to utilize the principle in pnometric construction. The couples which gave the most satisfactory results were discovered, improvements were made in material and design and the present-day type of instrument gradually evolved. The apparatus consists of three main parts, viz. (1) The thermo-couple itself of two dissimilar metal or alloy wires together at one end. (2) The leads which connect the terminal of the thermo-couple with the measuring instrument.

Jan 1, 1923

By A Riles

"Three issues of relevance in a modern tailings storage facility (TSF) are:geotechnical stabilitymanaging acid rock drainage (ARD) from pyritic tailingsmanaging the tailings from cyanidation of gold ores. Drawing on examples from both copper porphyry flotation and sulfide-hosted gold ores, this paper demonstrates that giving some weight and importance to the process tails properties upfront can influence the flow sheet and not only improve tailings management effectiveness but also impact positively on economics. In the case of a typical copper porphyry ore with moderate pyrite content, the rougher tail in a conventional high pH selective flotation step is usually classified as potentially acid generating (PAG). To avoid the generation of ARD within the tailings and the requirement for a costly plastic lining, subaqueous deposition is recommended, which in turn has negative implications for tailings stability, consolidation and closure. Adopting a neutral pH rougher stage rejects silicate gangue but recovers pyritic material to the cleaners for a subsequent selective flotation stage, often after regrinding. This effectively quarantines the PAG pyritic material in a much lower volume cleaner tail, which can then be appropriately encapsulated within a larger non-lined flotation tails facility. It also facilitates cyanide leaching of the cleaner tail for gold recovery, with the encapsulated tailings facility being suitable for cyanidation tails storage. A case study from Europe is examined. For gold ores where the gold is sulfide-hosted, but not refractory, a flotation route with cyanidation of the concentrate can similarly produce the majority of tailings as a benign flotation tail and again quarantine the low volume concentrate leach tail in a small encapsulated cell with appropriate residual cyanide management measures applied. Overall economics for intensive leaching of a low volume concentrate stream can also be surprisingly positive. A feasibility study design example of the process and TSF is presented. CITATION: Riles, A, 2016. An Integrated Approach to Optimising All Concentrator Products, Including Tailings, in Proceedings The Third AusIMM International Geometallurgy Conference (GeoMet) 2016, pp 341–346 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Jun 15, 2016

By I M. Platten, Y Xie, B W. Cuffley, S C. Dominy

"Geometallurgical programs require the collection of representative samples for geochemical, mineralogical and metallurgical test work. Such protocols must be designed to suit the style of orebody in question. The distribution, proportion and size of gold particles have a direct impact on the effectiveness of sampling and test work protocols, and the gold recovery processes employed. Characterisation studies focusing on ore mineralogy, and gold particle deportment, size and distribution are required. High resolution X-ray computed tomography provides a non-destructive method for analysing the 3D nature of gold in rock samples. It can be used to calculate the modal abundance, particle size and distribution of gold in the sample volume. This paper presents a case study of the imaging of in situ gold particles in a high-grade gold ore. The Nick O’Time reef system comprises laminated quartz veins, which locally bear extreme grades of up to 100 oz/t gold. The mineralisation has previously been characterised from both a mineralogical and metallurgical perspective. Eight visible gold-bearing vein samples were scanned using X-ray microtomography. Microtomographic data were integrated with previous mineralogical and metallurgical test work outputs.CITATION:Dominy, S C, Platten, I M, Xie, Y, Cuffley, B W and O’Connor, L, 2016. Characterisation of Gold Ore from the Nick O’Time Shoot (Tarnagulla, Australia) Using High Resolution X-ray Computed Tomography, in Proceedings The Third AusIMM International Geometallurgy Conference (GeoMet) 2016, pp 241–254 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Jun 15, 2016

And it takes more than good organisation. You may read or heard this poignant reflection: We tried hard, but it seemed that every time we were beginning to form up in teams we would be reorganised. I was to learn later in life that we tend to meet any new situation by re-organising, and a wonderful method this is for creating the illusion of progress while producing confusion, inefficiency, and demoralisation This was written by the Roman Gaius Petronius in AD65. How much have things changed in nearly 2,000 years? What then does it take besides the fundamentals and good organisation to build a successful career in a successful organisation? I'm prepared to venture a list of what I'll'call Tips for Young Professionals. If you've got what it takes, and apply these, I think that you'll gain a great deal of satisfaction from your career, even if you don't reach the distant target each of you should have in mind now. So settle back in an advice-receiving mode, and please forgive me if I come across as a master of the bleedin' obvious, as Basil once accused his wife Sybil of being in the unforgettable Fawlty Towers.

Jan 1, 1990

I know the theme of the Congress is "The 21st Century - Mining for Mankind" but I hope you will understand why my address touches upon some near-term issues as well. With the world oil market the way it is at present, "the long term" seems to be next week and no one is even sure what will happen tomorrow! So I am going to take a little licence with the theme of the Congress and talk about some fundamental issues that have much to do with the current uncertainties. The ways in which these issues are resolved and the role governments elect to play in the next few years will determine both the shape of the petroleum industry in the 1990s and beyond and the success with which we can confront a growing and inevitable future dependence on OPEC oil resources. But just in case you are not familiar with what has been happening in the petroleum industry recently and why the future seems more uncertain than ever, let me show you the gyrations in oil prices over the past 13 years, and remember that it is only another 13 years or so years to the 21st Century.

Jan 1, 1986

By Minchinton A

CPeX is a non-ideal explosive performance prediction model. The model takes into account the rate of energy release, the extent of chemical reac- tion and the effect of confinement on energy release. The model resolves the explosive energy into `shock' and `heave' com- ponents as a function of explosive type, hole diameter and rock type. The predictions of the model are compared for a bulk emulsion, and a prill-doped bulk emulsion in soft rock. The predictions, based on calibra- tion of the model with simple unconfined detonation velocity measure- ments, show the significant effect of non-ideality on explosive Performance.

Jan 1, 1988

The Bellambi Coal Company Limited com menced longwall mining at South Bulli Colliery in 1965. At present it operates three long- wall units in two seams. Although results to date have been less successful than planned, it is apparent that this type of mining has tremendous potential in the particular conditions at South Bulli. Massive sandstone strata above the Bulli seam is the controlling influence on face conditions. The earliest equipment proved to be inadequate and the Company has progress- ively replaced and upgraded the roof supports and ancillary equipment so that the present units are capable of producing high and consistent outputs.

Jan 1, 1976

By R Fletcher

Pacific Hydro, a leading renewable energy company from Australia, is developing a series of cascading run-of-river hydro electricity projects in the Cachapoal Valley at the base of the Andes Mountains some 100 km south of Santiago in Chile.These projects involve extensive tunnelling and underground works. The first of these projects is called Chacayes (110 MW installed capacity) and is now under construction with Astaldi SpA of Italy and Fe Grande of Chile as the EPC contractor. Astaldi SpA also has an equity stake in the project. It involves 6 km of tunnels between 5 m and 7 m diameter, of which 2.3 km is by tunnel boring machine (TBM) (5 m diameter).This paper outlines the local and regional geology, the scope of the Chacayes project, actual tunnel excavation rates and support, and compares the decision making on Chacayes between a choice of traditional drill and blast excavation versus TBM.The paper also outlines the next project planned to be developed by Pacifi c Hydro in the valley – the 140+MW Nido de Aguila project involving a main tunnel drive of 11 km with two intermediate adits, plus a 388 m shaft and underground powerhouse. The main tunnel drives are likely to be excavated by two hard rock TBMs (5 m diameter) but will need to be able to withstand high overburden pressures of up to 1300 m.Subsequent projects in the planning stages include the downstream Coya II project with two tunnels totalling approximately 10 km, one of which may be by TBM.

Mar 8, 2011

By J E. Everett, F Grobler

This study considers realistic data for a planned open pit iron ore mine, but is applicable to any open pit situation. By interpolating drill hole data, grades are generated for a rectangular block model. Each blockÆs grade designation vector has components for each analyte (chemical element or compound) influencing ore value. Interpolation by means of geostatistical kriging leads to each block being assigned its expected value, and thus underestimates the overall grade variability. Alternatively, interpolation by means of conditional simulation is a method that implements random sampling from an infinite population of solutions. Each conditional simulation has appropriate overall grade variability, but estimating any blockÆs mean and variance requires sampling from multiple conditional simulations. For a block model, an ore/waste selection criterion maximises the expected tonnage at a target grade. This criterion is a linear composite of the grade components, with positive coefficients for the beneficial analyte (iron) and negative coefficients for the deleterious analytes (such as silica, alumina and phosphorus).Although conditional simulation gives the same expected grade as kriging for each block, the expected maximum tonnage of ore selectable at a target grade may differ from that obtainable from the kriged solution. We apply the linear composite selection criterion to each of 25 conditional simulations, as well as to the kriged block model. The resulting distribution of product tonnage is confirmed to have an expected tonnage that is over 20 per cent greater than that of the kriged model. The method also enables a selection probability to be computed for each block, and thus a probabilistic pit boundary distribution to be identified and used in mine planning. Proposed extensions will consider risk-based scheduling of the multiple selection solutions through minimisation of a derived æstress factorÆ and treating the mining process as an iterative system with actual or artificial ædepletionsÆ modelled in line with the mine plan, using the updated state (with new information) to re-evaluate the mine plan for subsequent periods.CITATION:Everett, J E and Grobler, F, 2013. Risk-based ore selection from conditionally simulated block models, in Proceedings Iron Ore 2013 , pp 149-156 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 12, 2013

By A Mackay

As a result of the explosion in the 512 panel at the Moura No 2 mine in 1994 the role of the ventilation officer (VO) to submit sealing plans (on behalf of the operator/underground mine manager) has become one of the key duties of the VO of an underground coal mine in Australia. The intent of a sealing plan is to document the controls used to manage the build up of flammable concentrations of gases, and for these controls to be reviewed by the industry regulators. These sealing plans have brought a large amount of focus onto the sealing process and served the industry well. The legislation does not define sealing, or when it begins, but throughout the industry typically sealing plans are submitted 30 days prior to the last seal being constructed. This practice appears to have originated from the Moura 512 panel being a standing bord and pillar panel and where the explosive gas mixture could only occur after it was sealed. However, since the Moura disaster the industry has become dominated by goafing style longwall mining. Goafing panels differ from standing bord and pillar panels in that they typically have an unventilated goaf that can potentially contain an explosive mixture from start-up. This was recently highlighted by the explosion and fire on Longwall No 1 Tailgate at the Blakefield South Mine in 2011. The author ponders whether the industry should revisit sealing plans to focus on the core hazard and define that sealing begins when flammable concentrations of gases are created. Although defining when mine sealing begins is the key outcome of this paper, the main point is that VOs and industry regulators need to clearly understand what can occur in the atmosphere of underground coal mines. CITATION:Mackay, A, 2013. A case for change - Defining mine sealing and understanding flammable mixtures during sealing, in Proceedings The Australian Mine Ventilation Conference , pp 307-310 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 1, 2013

Last September, when I was asked to prepare this paper, I was told the subject was "mining," a broad subject indeed! Rather than choose one of the many important technical and economic details which characterize mining today, I turned to a subject which fas- cinates me: mining's image. If we are to survive and prosper into the twenty-first century, and if industry and society are to continue enjoying the material benefits which flow from mining, we must address the melancholy fact that the general public at best does not understand mining, and at worst does not believe it is needed or deserves to continue. While my point of view is largely that of an American mining executive, I would hasten to point out that Homestake has participated in Australian mining for over three decades, and our subsidiary, Homestake Gold of Australia Limited, is now a major producer in this "lucky country." Does society need a viable minerals and metals industry? The answer is obviously "yes," so the challenge is to change some minds: not just those of the amorphous "public," but on a focussed basis targeting journalists, educators, TV commentators, politicians and opinion makers of all stripes (I thought of using "rifle shot" instead of focussed but thought that might be misconstrued). Along the way we miners must also look deeply into ourselves, our attitudes towards the society in which we function, and our willing- ness to change as well as to seek change in others. How did we become such bad guys? More than a century ago mining was not just accepted, it was even romanticised. In America, we had altered the time-honored concept of "Crown" lands into public lands made easily available to settlers pushing back the frontier. Miners even preceded the farmers and stockmen in what was perceived as nation-building, although by the 1890s there was a growing interest in conservation, especially the protection and management of forests and national parks. Even though emphasis was shifting toward government stewardship and away from trans- fer of public lands to private ownership, homesteading and mining were clearly recognised as valid uses requiring not just access, but security of tenure. Indeed, conservation as it was then understood implied management of the public domain as well as its protection. Initially this was no great problem to the U.S. mining industry, but as the nation grew and competing land uses became more important, conflicts began to appear, first over water rights and later over air quality and destructive mining practices. But these were local disputes rather than national issues, and two World Wars, the Great Depression and post-war reconstruction lulled our industry into thinking that nothing had really changed. After the storm began to break in the 1960s, the mining industry found itself confronted by a growing maze of complex and costly laws and regulations. It took us longer than it should have to realise that, in facing this challenge, we seemed to have lost the understanding and support of many of our legislators and a majority of the general public. For over 20 years now, since the first Earth Day in 1970, the U.S. Mining

Jan 1, 1991

By R J. Butcher

Many deposits have been evaluated as potential block caves over the last 20 years due to the perceived benefit of low operating costs. However, block cave projects are typically capital intensive, with mass mining providing high throughput rates that required large investments in mining, processing and utilities infrastructure. While the key economic metrics in deciding to proceed with a caving project are typically net present value (NPV) or internal rate of return, these may not represent the best decision metrics for some companies. Where a caving project is competing for scarce capital amongst other projects in a company’s portfolio or where the caving project is the only project being evaluated by a company trying to raise capital, other metrics may be more appropriate. This paper explores the use of present value ratio and the minimising of maximum negative cash flow as suitable metrics in determining alternative strategies. Trade-offs between optimising for economic value and capital efficiency measures allow for decision-makers to evaluate potentially higher-risk, higher-capital and maximum NPV projects against lower-risk, lower-capital projects.CITATION:Stewart, C A and Butcher, R J, 2016. Block cave evaluation, in Proceedings Seventh International Conference and Exhibition on Mass Mining (MassMin 2016), pp 809–816 (The Australasian Institute of Mining and Metallurgy: Melbourne).

May 9, 2016