Search Documents

By Dr. O’Neil Thomas J., Donald W. Gentry

There are mines that make us happy, There are mines that make us blue, There are mines that steal away the tear-drops As the sunbeams steal away the dew. There are mines that have lost the ore chute faulted, When the ore's forever lost to view, But the mines that fill my heart with sunshine, Are the mines that I sold to you. -Anonymous INTRODUCTION The preceding chapters have discussed, in various degrees of detail, the primary considerations necessary to perform a cash flow analysis of a mining-related investment opportunity. Although the previous discussions regarding the manipulations, calculations, and interrelationships of the various components of the pro forma income statement were illustrated in the text, many individuals are un- familiar with the format and appearance of a final spread sheet for the evaluation of a mining property. As a result, it seems appropriate to conclude this book with an abbreviated case study of an actual mine property (currently in production) showing the cash flow analysis and some back-up data. Obviously all of the supporting data and calculations for the case study presented cannot be provided; however, reference is made to the major assumptions utilized and to the appropriate procedures employed in the calculations, as described elsewhere in the text. The problem associated with using any case study for illustrative purposes is that one tends to be overwhelmed by detail. For instance, specific costs, prices, expenditure timings, and other variable values may be challenged because they either do not conform to one's expectations or are not consistent with specific operating experiences. When this occurs the instructional value of the problem becomes obscured. The purpose of most case studies, and particularly the one presented in this chapter, is to expose the student to the methodology, procedure, and format associated with performing a cash flow analysis of a mining property. It is not to laboriously wade through the specific details associated with operating and capital cost development, mine plans, or equipment schedules. It should be noted, how- ever, that the values represented in this case study result from specific mine plans, operating procedures, equipment spreads, manpower requirements, and other en-

Jan 1, 1984

This article presents a proposal for the rehabilitation of the mined area of the Mogiana quarry. The Mogiana quarry produces material used in civil construction and is situated in the Brazilian State of Spo Paulo in the kilometre six of the Mogf Mirim - Itapira highway. The mineral exploitation in the Mogiana quarry provokes modifications in the environment such as alterations in the relief, vegetation, quality of the air, water and landscape. Through previous study of the area it was verified that after the closure of the exploitation the mine should be occupied mainly by pasturage. At the closing of the mine the exploitation benches, berms and slopes in general as well as the surrounding areas should be covered with a layer of soil and vegetated with native species in order to mitigate the negative impacts caused by the mine. The rehabilitation project of the area is based on the probable future use of the area, located between agricultural cultivations and cattle creation. The great alteration of the relief and soil would make future use of the area for agriculture difficult. It is more suitable t0 animal creation, mainly cattle. The high and thick rock slopes originated by the mining should be covered by vegetation, where possible, to reduce the negative visual impact. Obviously several measures will be necessary to reduce the impacts on the environment during mining. The final and definitive reclamation will only be possible after abandonment of the area. The main aspects of this reclamation process will be discussed in this paper.

Dec 6, 2010

By K. Hopperstead

Ventilation planning in trackless metal mining is often taken for granted. This paper highlights the trials of planning and executing the ventilation design for Bog Zone at the Lisheen Mine. Ventilation planning for Bog Zone started at the feasibility study stage in 2003; subsequent design changes continued until 2006. In August 2006, the development of the Bog Zone ore body was accelerated through the use of contractors; in addition, the Lisheen equipment fleet was revised based on a larger load and haul fleet. As a result, the circuit was reviewed in terms of changes in design conditions and best practices. This review resulted in a 40% increase of total airflow required to mine Bog Zone. Resources utilized to design the circuit include: external review, computer modeling, and in-house Lisheen planning and operational staff review. The final ventilation design configuration was adopted in 2007, after modeling and evaluating 30 different scenarios, resulting in a better distribution of airflow, optimized secondary escape way, reduced contaminants, and a total power reduction. The value of investment in computer modeling of primary ventilation circuit and planning for staged implementation should never be underestimated.

Jan 1, 2009

By Thierry Bernard, J. M. Laboz

2000 HIGH-TECH SEMINAR Blasting Technology, Instrumentation and Explosives Applications

Jan 1, 2000

By R. M. Owens, J. F. Lupo

The Shirley Basin Uranium mine, located in southeastern Wyoming, USA, was an open pit mining operation consisting of a series of several open pit mines excavated into poorly consolidated sandstones, siltstones, and claystones. Since the initial open pits were developed in 1969, slope failures have plagued the mine and mining operations. These slope failures have persisted into the current mine reclamation period. When the mine was first developed, the open pit slopes were designed to range between 45 to 55 degrees. Numerous slope failures during mine development required the pit slopes to be redesigned with slopes as shallow as 26 degrees. At present, movements are occurring within the open pits on reclaimed slopes that are shallow as 12 degrees. Several detailed slope studies were conducted at the mine in the early 1970s. These studies, combined with more recent geotechnical investigations, provide a unique detailed history of pit slope failures on shallow slopes. This paper presents an evaluation of the slope failures at the Shirley Basin mine, highlighting important mechanisms causing slope failures on very shallow slopes. The evaluation demonstrates important key parameters for shallow slope design.

Jan 1, 2001

By Rodger C. Fry

Underground coal mining has been active within the East Mountain property since the mid 1950's. As a result, coal from two seams has been extracted within large areas allowing surface subsidence to occur. Monitoring of subsidence annually, began in 1981 using on the ground conventional monumentation, surveying and photogrammetric monitoring. The data collected has shown the time benefits of photogrammetry and the relationship between observed subsidence and the geometry of the mined out area below.

Jan 1, 1986

By Scott Chesman

Increased TBM performance is leading the way for resurgence in tunneling activity in NYC. Tunnels will be excavated in the same geologic formations as previously excavated D&B tunnels whose construction records are providing valuable insight into the prediction of rock mass behavior. This report compares an eight mile stretch of NYC Water Tunnel #2 with the recently excavated eleven mile stretch of the TBM driven Water Tunnel #3. Comparisons of the type and amount of rock support installed as well as water inflows and grout quantities are made. Rock mass characteristics specific to TBM performance are also evaluated.

Jan 1, 2005

By D. C. Brady

"Within six months from award of a project management contract, Les Mines Dumagami Limitée, Cadillac, Quebec, was operating its new hoisting facility. This was accomplished with less than a six-week shutdown of mine production while still maintaining shaft access for underground maintenance.The work involved installing a refurbished /3.5 ft diameter double drum hoist, replacing a timber headframe with a newsteel headframe, increasing the ore bin capacity from 500tons to 1000 tons, constructing a new substation, and upgrading related facilities.This paper describes the work and methods used by various contractors, Les Mines Dumagami Limitée and J.S. Redpath Mining Consultants Limited to bring this project to a successful completion. It discusses the history of the project from proposal stage through to the design, procurement, scheduling, and construction management. The paper also comments on problems that were encountered and the methods used to overcome them.IntroductionThe Donald J. Laronde Mine of Les Mines Dumagami Limitée (Dumagarni), a gold and copper producer, is located in northwestern Quebec, approximately half way between Val d'Or and Rouyn. The mine started production in the spring of 1988 and the first gold bar was poured in June 1988.Following a request by Dumagami, on February 22, 1989, J.S. Redpath Mining Consultants Limited(Redpath) delivered a proposal to increase hoisting capabilities from 1500 tpd to a minimum of 2500tpd. Although various concepts were considered, Redpath proposed a new hoist house along the same shaft axis as the existing hoist, and located on the site of the existing substation. They would then provide a new substation, replace the headframe with a largersteel structure , gain extra storage capacities by increasing the bin heights, and raising the roof of the bin house accordingly.Although underground mining would have to be stopped for a month, the mill production would be maintained by feed from Dumagami's open pit.Figure 1 shows the original plant layout and Figure 2 represents the general arrangement after the project was completed . Table 1 compares the original hoisting facilities to the new facilities.On March 2, Dumagami awarded Redpath a contract that included preliminary engineering, detailed engineering, procurement and contract administration, and later added construction management. The preliminary engineering refined the initialconcept, selected major equipment, and prepared schedules and capital cost estimates for the total project."

Jan 1, 1991

By Liane J. Terrill

A 9O) ft (275 meter) section of a highly fractured beam of halite was mined from the roof of a supported thirteen year old drift at the Waste Isolation Pilot Plant (WIPP). The operation was conducted with a continuous miner and allowed the unique opportunity to collect spatial information on roof beam geology and to observe ground support conditions during the mining advance. Photographs and fracture maps of the mining face document the progress of the operation and the deteriorated condition of the strata. This case study details the drift's excavation and support sequences. the geomechanical response, and the conditions found in the exposed roof beam.

Jan 1, 1997

By Chandrasegaran, Tamilmani

"This paper describes a case study of a retaining wall structure using a diaphragm wall to construct a stilling basin at Tanjung Bin T4 power plant in Johor Bahru, Malaysia. The stilling basin is part of the Phase IV (T4) 1x1000MW power plant’s offshore cooling water discharge culverts. The site is located close to the sea with 5m of fill on top of very soft sediments of marine origin up to 20m thick underlain by fluvial clay and metasedimentary rock. Stringent wall deflection criteria and construction program dictated adopting an efficient solution with 800mm thick diaphragm wall supported by permanent top support as the temporary prop and improved horizontal restraint provided by deep mix piles acting as a slab (ground improvement layer) below the final excavation level. The depth of excavation is about 10.12m from the existing ground level. The proposed solution kept the wall deflection below the limit of 0.7% of the depth of bulk excavation and avoided additional props leading to faster completion of the structure. With unsymmetrical loading behind the retaining walls, 2D finite element analysis was carried out to assess the wall deflection and stresses in the wall and the grout layer below. The diaphragm wall is instrumented to monitor the behavior and the findings are discussed in the paper.INTRODUCTIONConstruction in soft marine clay has always been a challenge to the engineer because of its very low shear strength and its sensitivity to disturbance. In the case of excavation projects the problem becomes even more complicated with development of excess pore pressure during excavation. Marine clay with its low shear strength and lesser passive resistance, generally leads to large wall movements and settlement behind the wall. Increased passive resistance coming from increased number of props is useful but has its limits and it is no longer the most effective way in containing or reducing the wall movements or forces in the wall. One of the solutions to these problems is to improve the soil shear strength by means of ground improvement infront of the wall at an elevation most appropriate to maximize wall performance. There are several methods adopted in improving a soil layer including mixing additives to the ground to improve the shear strength to partially replacing the weak soil while others are fully replacing the weak soil. This paper discusses the case study of approximately 10m of excavation in soft marine clay using 800mm thick diaphragm wall supported by Deep Mix Piles (DMP) being used to improve soft marine deposit to form a slab just below the formation level and thus improving passive resistance significantly. The ground improvement layer helped to reduce the wall forces and deflections making it possible to remove the need for additional temporary props leading to significant savings is time and productivity. The paper presents the various options explored before this method is adopted, the design approach, instrumentation data and the monitored results."

Jan 1, 2015

By M. V. T. Da Silva, J. C. Harrison

Eldorado Gold Corporation of Vancouver, B.C. owns and operates three gold mines. The São Bento underground gold mine in Minas Gerais State, Brazil produced 105,907 ounces in1997. The La Colorada and La Trinidad open pit, heap leach mines in Mexico produced over 83,000ounces in 1997. With a deteriorating gold market plaguing the industry throughout 1997 Eldorado had to take critical measures at each mine to enhance gold production while lowering cash operating costs. Each mine had its own unique problems to confront. This case study will discuss three distinct courses of action taken at the three mine sites.

Jan 1, 1999

By H. Cay, J. Zachwieja, T. Esplin, R. Ravenelle, T. Olsen-Tank

Barrick Goldstrike mine utilizes a carbon-in-leach (CIL) circuit to simultaneously leach gold into solution with cyanide and adsorb the gold-cyanide complex onto activated carbon for further refinement. If the gold bearing ore contains a significant amount of native carbonaceous material, gold cyanide can be adsorbed at these sites instead of onto the desired activated carbon and the gold is effectively lost to tailings in a detrimental process known as "preg-robbing." The preg-rob effect is considerably reduced by treating the ore with a surfactant, which is hypothesized to adsorb to and passivate the native carbon surfaces. Past laboratory and pilot studies have consistently demonstrated significant gains in gold recovery after treating carbonaceous ore with surfactant. With success in bench and pilot scale testing, a plant trial was conducted at Barrick Goldstrike to evaluate the feasibility of using an alkoxylated fatty amine surfactant (Ethomeen T/12) to aid in the leaching of high preg-robbing ores. This paper analyzes the performance of the surfactant during the plant trial in addition to the problems that occurred during the trial period. Suggestions for improvement are also discussed.

Jan 1, 2014

By Chris T. Franke

The Waste Isolation Pilot Plant is a deep underground facility mined in bedded salt interspersed with persistent clay inter- beds. The clay seams delineate beams of salt above and below the excavations which strongly influence excavation performance. This paper reviews available rock mechanics information relevant to improving drift stability by removing the roof beam. Conceptual deformation mechanisms, relevant field data, and numerical analyses were used to investigate the effects of mining the roof of the excavations along a clay seam. Finally, a case study that applies the results of this investigation is presented.

Jan 1, 1997

By R. Hart

In this paper, problems that have been experienced with the rockpass system at Kloof Mine No. 3 Shaft are described. Actions that have been taken to overcome the problems are also described. These include the use of slugshots to remove hang-ups, the abandonment and waste filling of passes, and design criteria adopted for an alternative pass system.

Jan 1, 2006

By Jérôme Girard, Shiu Kam, Sue Longo

"Historically, tailings management in a northern climate has involved the deposition of tailings into the Tailings Management Area (TMA) as conventional slurry. This type of system is obviously viable but presents challenges that are difficult to manage as circumstances change over the life of mine. These issues can include:? Increases in mill throughput, and? Life of the TMA for the life of mine.This case study will present how thickened, high-density, non-segregating tailings are used as an alternative to conventional slurry disposal to achieve greater storage capacity and enhanced environmental performance for a gold tailings facility in a northern climate. This paper will focus on how this change in deposition strategy accommodated the increased throughput of the mill and the increased life of mine. Specifically, the paper will discuss the addition and integration of new processes to the exiting mill system to accommodate the tailings management issues. It will highlight the challenges from laboratory testing to pre-feasibility to the engineered design of the thickened tailings system implemented at Musselwhite Mine.BACKGROUNDGoldcorp Canada’s Musselwhite Mine, in Northwestern Ontario (120 km north of Pickle Lake), is an underground gold mining operation that began production in 1997. The current mill throughput is about 4000 tpd (1.4 Mtpa). Gold extraction is based on a CIP process with cyanide destruction.The existing tailings management area (TMA) is located about 2 km southwest of the mill complex. The TMA is contained by high ground to the north and to the west and flanged by a moraine ridge along the south side. A number of dams have been constructed along this ridge. The dams were first built in 1996 and subsequently raised in 2000 and again in 2005. Excess tailings pond water is discharged to a polishing pond then released to the environment via a wetland.The TMA was originally designed to contain 13.7 Mt of tailings under a ponded surface for closure. The water cover was to inhibit adverse long-term environmental effects because the tailings contain pyrrhotite and other sulphide-bearing minerals that are potentially acid generating. The design was modified during Stage 3 Construction in 2005 to expand the storage capacity to 17.3 Mt (Golder, 2005). As of end of 2009, over 16 Mt of tailings had been deposited in the TMA. The slurried tailings were historically deposited at 50% solids."

Jan 1, 2011

By Chris A. Bennett, Glenn S. Dobby, David A. Bulled

Establishing reagent dosing strategies for new ore bodies has traditionally involved a combination of experience and empirical experimentation using standard laboratory tests. The grade and recovery data resulting from these lab tests have historically been used as direct indicators of plant performance despite the obvious differences between the flotation environments. A reagent scheme selected in this way would subsequently be employed to generate the grade and recovery information for the geometallurgical model which in turn was used for metal production and cash flow forecasts. If the reagent scheme was sub-optimal then so too would be the forecasts and the resulting cash flow.

Jan 1, 2003

By G. R. Lane

A large opencast gold mining company in Africa had just completed a feasibility study for an expansion of the operations. A traditional net present value project valuation methodology had been used that showed a very positive net present value (NPV). The project team had conducted a qualitative risk assessment that identified and logged all potential project risks and had subjectively incorporated 'risk' via the discount rate and other assumption contingencies around gold price expectations, operating parameters, etc. Management requested that an independent quantitative risk modelling approach be adopted to obtain a better understanding of the impact of risk on the overall project valuation and confidence level in the final valuation. A detailed project valuation model was configured in the Cyest Carbon Modelling Technology platform, and the stochastic modelling module used to perform the Monte Carlo simulations. Analysis of historical operational performance data relating to actual achievements versus planned and budget determined the historical variability of the underlying parameters as well as variance to budget. This was done at a detailed level for mining rates and costs, processing rate, costs and recovery, and other operational efficiency measures. External market assumptions relating to gold price, exchange rate, and inflation were modelled and the dependency between them modelled using a copula. This case study will demonstrate the approach taken to building and populating the quantitative risk model and the overall results of the Monte Carlo simulation. The final valuation demonstrated that the project had a 44 percent probability of an NPV less than zero i.e. a 44 percent chance of project finance loss.

Jan 1, 2013

By M J. Shearer

An investigation into the reliability of the data being collected at the Mount Isa Mines site operated by Glencore in Queensland allowed on-site ventilation personnel to scrutinise pressure and volume measurements collected from the primary surface fans. The investigation effectively identified discrepancies being reported to the on-site remote monitoring system. The difference between the real-time and static measurements on the P63 RAR shaft identified that the in situ differential pressure transducer and piezo annubar system was not operating correctly. This indicated a deficiency of approximately 30 per cent reporting back to the remote monitoring software versus the live readings measured with the Pitot tube bomb and ALNOR AXD610 pressure micro-manometer.Constant monitoring of an operations ventilation network is imperative to ensuring that the underground atmosphere provides a safe and healthy workplace. Further benefits to real-time monitoring allows for the early indication of network failures and promotes increased availability. An innovative approach to out engineer and improve the existing measuring equipment from the 1970s was sought.The use of ultrasonics in the mining industry is not new with ventilation management systems (VMS) equipment available within the marketplace. The introduction and implementation of a reliable product for real-time monitoring was a challenge to overcome due to limited access and suitable measuring points within the mine. The available equipment on the market through mainstream suppliers was not suitable for the unique application required due to the in situ installation of the surface fans. A solution was identified in the oil and gas industry through collaboration and innovative thinking. This paper describes the sustainable approach to implement a reliable air flow monitoring system on-site.CITATION:Shearer, M J, 2017. Case study – an analysis of reliability and efficiency: ultrasonic versus annubar technologies, in Proceedings Australian Mine Vent Conference 2017, pp 51–56 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 28, 2017

By A. Jennings

[ ] In November 2005, Essroc Cement, part of the Italcementi Group, commissioned a long overland conveyor at their Nazareth plant in Pennsylvania. This conveyor, tagged CV-105, was designed to transport 1000 tph of limestone from the quarry to the kiln, and 400 tph of hot clinker (at 300°F) at back from the kiln to a handling facility about halfway back. Conveyor CV-105 is 8969 ft (2733 m) long. It gains 152 ft (46 m) of elevation in the first 1570 ft (480 m), then is mostly flat for the remaining 7400 ft (2250 m) (Figure 1). After the limestone is discharged at the head pulley, hot clinker is loaded onto the return side of the belt. This clinker can be discharged at one of two locations.

Jan 1, 2012

By Mike Fabius

The Lakehead Region Conservation Authority is responsible for slopes along the Kaministiquia River, one of the largest tributaries to Lake Superior in Canada. After arresting toe erosion for a mile of riverbank, the remainder of the slope required stabilization to stop further crest regression and to protect the houses, street and services at the top. Stabilization of the 100 ft. high slope was tendered as design-build with a target safety factor of 1.3 and a design life of 75 years. The successful bid was a system of 1.4 inch diameter soil nails up to 40 feet long, installed perpendicular to the slope on a 3 to 5 foot grid. The conventional shotcrete facing was replaced with a ?green? biotechnical facing and special transverse plate heads on the nails. The key to keeping costs low proved to be installation with light equipment working on the slope, and driving the nails without drilling or grouting. Rather than tension, the design was based on bending in the nails, similar to a laterally loaded flexible pile. The paper describes the design and installation of this innovative system. The design is discussed in terms of soil properties, nail resistance as it varies with depth, failure modes, corrosion protection, root design and nail head design. Construction challenges are discussed. The system is compared to an adjacent anchored soldier pile wall built along the same slope 20 years ago. Post construction monitoring results confirm predicted performance.

Jan 1, 2006