Search Documents

This paper examines some of the fundamental economics of mining - in particular, for optimisation studies, for production rate determination and for reserve estimates.It includes introductory discussion on the principles as to how economics drives mining investment decision-making, applicable to the optimising of pit shapes and production, or truck fleets, or any other part of the mine.The main part of this paper looks at the decision to start-up a mine and why the 'optimum' production rate to start-up a mine is not the point of lowest cost according to traditional discounted cash flow (DCF) analysis. The optimum production rate is usually substantially less than this rate. The paper recognises the difference between typical mining investments and investments in other industries that do not have the unique characteristics of mining and the problem of uncertainty resolution. It examines the marginal revenue effects, the marginal cost of capital and the value of a real option to expand pending uncertainty resolution as determinants of optimum initial production rates.The final part of this paper looks at applying these principles to renewable and non-renewable resources. It examines mine life and reserve estimates from an economic perspective.

Dec 6, 2010

By N Clarke, R Dineen, W Jones

The Mt Lyell copper mine in western Tasmania has discharged acid drainage (AD) into the Queen and King Rivers and Macquarie Harbour for over a century. Presently, dissolved copper loads of about 1000 tonnes per annum and dissolved aluminium loads of >2000 tonnes per annum are contained in the AD, which is derived from underground workings (~60 per cent) and historic waste rock dumps (~40 per cent). Flows vary from about 100 L/s during dry periods, to >400 L/s during the wet winter. The site is presently operated by Copper Mines of Tasmania (CMT) who are not responsible for the acid drainage generated from the mine site. Although western Tasmania is famous for its mining history, tourism and aquaculture have emerged as the new industries on the West Coast, with a major tourism railway (the Abt) recently opened along the banks of the Queen and King Rivers. The emergence of these industries in a æclean greenÆ Tasmania has resulted in a strong community and government push to remediate the acid drainage. Remediation investigations and efforts at Mt Lyell were initiated by the Department of Primary Industries, Water and Environment (DPIWE), previously known as DELM, in 1995, and have included the quantification of environmental impacts arising from the AD, and the investigation and costing of potential remediation options. A primary focus of the work has been to identify cost-neutral options which recover metals from the AD in a saleable form to help defray on going treatment costs. This paper summarises these activities in generally a chronological order, highlighting findings of the program that are potentially applicable to other acid drainage sites.

Jan 1, 2003

By D Reddy Chinnasane

Outline Location of BirchtreeMine and Layout of 124 OB Cut and Fill Mining Background Purpose of the Studies Methodology Results and Analysis Conclusions and Recommendations

Oct 1, 2010

By James Anstey

BHP Billiton?s Cannington facility is a mining and minerals processing plant near Mt. Isa in Central Queensland, Australia, producing silver, lead and zinc. Mine ore is processed in a concentrator, which consists of grinding, flotation, thickening and filtration. Grinding is carried out in a fully autogenous (AG) mill. The mill operates in closed circuit with a pebble crusher. Throughput is approximately 380 tph. Cyclone overflow from the grinding circuit is fed into a flotation circuit for the recovery of lead, zinc and silver. Two concentrates are produced (lead and zinc), which are then thickened and filtered. The filtered concentrate is transported by road to a rail receiving station. From here the concentrate is railed to port in Townsville for shipment to the smelter. Matrikon and Engineers at BHP Billiton?s Cannington Mine have used ProcessACT to develop a flexible, nonlinear dynamic simulator for the grinding circuit to further enhance process understanding, as well to investigate various optimization strategies. An online charge volume estimator was also developed for the AG mill to aid in the understanding of overload conditions, which for the previous two months had been the primary contributor to downtime. The models were developed using a combination of first-principles modeling along with input-output dynamic responses. Examples of models used include: Morrell ?C? model for power and charge shoulder/toe angle prediction; Whiten?s mixing model for breakage and hold-up; Nageswararao cyclone model for predicting cut size; slurry recovery and water recovery. The composite model simulates system dynamics starting from the stockpile reclaim system and finishing at the feed for the flotation process. The objective was to provide a tool that assisted Cannington in understanding their Grinding Circuit and allowed them to develop and evaluate circuit optimization strategies. BHP Billiton Cannington Mine is now considering development of a Grinding Circuit Optimizer utilizing the models developed for the simulator.

Apr 1, 2005

By M. Hochenhofer

Keywords: desulfurization, mathematical model, slag reaction To produce ferroalloys like ferro-nickel for alloying purposes in a quality that meets the requirements of today?s steel industry, refining processes like desulfurization and dephosphorization are indispensable. The performance of desulfurization-treatment by slag reaction depends on various parameters, such as: sulfide capacity and viscosity of the slag, sulfur distribution between metal and slag, activity of sulfur in melt and movement of melt. Within this work, the combined influences of these parameters on the desulfurization of a ferro-nickel alloy were examined. As a basis for this examination, a mathematical model, based on data from plant trials, was created. This model demonstrates the relationship between desulfurization rate and initial values of the above mentioned parameters. With this model the relevant parameters were evaluated and assessed concerning their influence on desulfurization.

Jan 1, 2005

By H. M. Cooper

Many analysts have had difficulty in obtaining accurate and consistent determinations of the volatile matter in low-temperature coke when the usual standard method for coal was followed. The tendency is toward too-high results, due to mechanical losses which are extremely difficult to avoid or control. With cokes there also may be an error due to excessive oxidation of the fixed carbon. Much of the earlier experimental work on the volatile-matter determination in coal, such as that of Parr,5 Fieldner and Davis,6 and others, 7 has been on the effect of time, temperatures, shape and size of crucibles, method of applying heat, and type of furnace, all of which data has evolved the present A.S. T. M.8 standard method for volatile matter in coal and coke. It is not the purpose of this investigation to deal directly with the above phases of the procedure, but rather to study some of the factors affecting she results in those types of fuel which give erroneous results due to mechanical losses.

Jan 1, 1932

By J. F. Papp

In the United States, chromium has been consumed in three major markets: chemical, metallurgical, and refractory. The predominant end use for chromium in the United States is in the metallurgical market as an alloying element in the production of stainless steel. In addition to being a major stainless steel-producing country, the United States is a major world producer of chromium-containing chemicals and has used substantial amounts of chromite ore for refractory applications. Chromium use is not easily further subdivided within the chemical and refractory industries because there is insufficient publicly available information to do so; however, chromium use can be subdivided among metallurgical industry uses based on the American Iron and Steel Institute (AISI) reported shipments of stainless steel by market classification (agricultural, aircraft, automotive, etc.). It is the goal of this study to determine the distribution of U.S. chromium apparent consumption among major markets in the United States. The distribution is expressed in the form of dimensionless fractions that are computed based on documented chromium consumption by major market. The distribution of chromium among markets within the metallurgical market is computed in a similar manner. Distribution factors are first computed for the major markets, then for markets that are subdivisions of the metallurgical market. The distribution of chromium among major markets has changed substantially over the time period of analysis. The fraction of chromium consumed by the metallurgical market has increased while that of the chemical and refractory markets has declined. Within the metallurgical market, the service industry market accounts for the greatest fraction of chromium consumption followed by transportation. Electrical, machinery, and fabricated products markets account for a substantial share of the metallurgical chromium consumption.

Jan 1, 2004

By Klaus Pöllath

The Netherlands RandstadRail project makes use of a large range of sophisticated geotechnical techniques to allow a shield driven tunnel to approach the central station of Rotterdam. This paper describes the construction of three deep excavation pits constructed with 1.2 m and 1.5 m thick diaphragm walls. Besides the presentation of the actual diaphragm wall activities special consideration is given to the break-in and break-out situations of the TBM into the deep excavations pits using sealing blocks and partly glass fibre reinforcement in the diaphragm walls.

Jan 1, 2006

By T. A. Grammatikopoulos, B. Vasily, A. H. Clark

"The St. Lawrence deposit is a large wollastonite skarn (ca. 9 Mt @ 41.3% wollastonite) adjoining the gabbroic-to-syenitic Leo Lake pluton in the granulite facies Frontenac Terrane of the Grenvillian Central Metasedimentary Belt. It occurs within a horseshoeshaped horizon of quartzite, open to the east. The skarn extends over 1.2 km2, and comprises wollastonite-dominant, wollastonite-clinopyroxene, and diverse quartz-feldspar-sulphide (-titanite) layers, interbanded with, and strongly folded within, the quartzite. As in the world-class wollastonite deposits of the Willsboro district, New York, no carbonate protolith is preserved, and calcite is a negligible constituent of the mineralized zones. Wollastonite development is nonetheless ascribed to metasomatism of a metacarbonate unit by magmatogene, silica-rich, CO2-poor (XCO2 < 0.05) fluids, at P = 350 MPa and ca. 560°C, or, alternatively, 550 MPa and ca. 630°C.Several high-grade zones, averaging >40% but locally exceeding 80%, of translucent, white, tabular wollastonite grains, with lengths of 0.2 cm to 5 cm, have been delimited by drilling. Preliminary beneficiation studies yield high aspect-ratio and high-purity (low Fe and Mn) concentrates.St. Lawrence compares favourably to other known prospects and operating wollastonite deposits: having good chemical and physical properties, low iron content, and high aspect ratios (>20:1). In addition, the deposit has a favourable size and location, and will benefit from a low Canadian dollar. Canada currently has no wollastonite production."

Jan 1, 2003

By P. J. van der Walt

The paper1(hereinafter BG) by two respected sampling experts contains sound theory and logic that can?t be directly refuted. Nevertheless, a practitioner knows that there is a broader context in which the practice of sampling takes place. This broader context, being less well defined than the theory of correct sampling, receives correspondingly less exposure which this commentary??prompted by? BG?seeks to rectify. ?Correctness? of a sampler is the central concern of BG, where it is presented as a sharp ?black-and-white ?distinction. Accordingly, comments below are grouped under the following headings: ?Correctness in practice ?Without correctness, what can be done? ?The broader context.

Jan 1, 2002

By H Saw, M Cordova

Cemented rock fill (CRF) is often used to support open stope voids. This allows for the full recovery of ore while achieving global mine stability. In such cases, the exposed CRF masses require adequate compressive strength and stiffness to resist the forces and limit the displacement associated with movements in the rock mass surrounding the excavations. The CRF material preparation often involves the use of large particles, either from crushed rock or development mining waste. This means that conventional laboratory samples cannot be readily used to determine the laboratory strength. Consequently, a research project was undertaken to determine the influence of sample size on uniaxial compressive strength. This paper presents the results from CRF samples that were prepared using the same mix design and then cast into moulds with diameters of 150, 240, 300 and 400 mm. The laboratory testing also allowed a better understanding of the effect of particle size distribution upon the overall strength of a rock fill mass. The laboratory results were compared to a database of large-scale results from the testing of fill masses from a number of mine sites.CITATION:Cordova, M, Saw, H and Villaescusa, E, 2016. Laboratory testing of cemented rock fill for open stope support, in Proceedings Seventh International Conference and Exhibition on Mass Mining (MassMin 2016), pp 755–762 (The Australasian Institute of Mining and Metallurgy: Melbourne).

May 9, 2016

By C. Hellar

A new dual-boom remotely controlled roof bolter was designed, fabricated, and then tested in an underground coal mine. Remote-control functions allowed complete bolting cycles to be performed on two booms with both operators located within protective cabs. Capabilities included 3-to 6-foot-long bolts in 5-to 8-foot seams, limited to bolts 20 inches shorter than seam height. Machine was in compliance with all regulations including dust collection, machine lighting, and permissibility.

Jan 1, 1979

By J. L. Robson, C. M. Bristow

mass flow rates of particles and air (the loading ratio).

Dec 1, 1994

There has been disappointingly little development in the analysis of rock slopes in open pit mines over the past 30 years. A brief review of literature shows that the application of numerical stress analysis methods to open pit mine slope stability has become only relatively common in recent times, and that there are as yet no standardized approaches. The lack of development in general, and of robust, standardized approaches in particular, is surprising in view of the ?ultra? deep open pit mines that are being developed to depths in excess of 1000 m. In this paper, the results of a substantial programme of two dimensional and axisymmetric analyses of open pit slopes are described. Variations in the following parameters were taken into account in this programme: slope angle, slope height and horizontal to vertical in situ stress ratio. The evaluation of the data has concentrated on the tensile stresses and the extension strains in the slopes. This is believed to be the first publication dealing with strain distributions in slopes. The occurrence of zones of tensile stress was very limited. These zones occur in the crests of slopes, except in the case of low horizontal to vertical stress ratios, in which case the tensile zone is in the floor of the pit. In contrast, very large zones of extension strain can occur, and this finding represents a significant new aspect in slope stability that has not been considered before. The greatest magnitudes of extension strain occur near the toe of the slope, either in the slope itself, or in the floor of the pit. The magnitudes of the strains are considered to be large enough to result in fracturing of intact rock, and the fracture orientations predicted are adverse for slope stability. The large zone in which such extension failure could potentially occur in a 1200 m deep pit is typically more than 100 m horizontally behind the toe and about 400 m up the face from the toe. Fracturing that is extension in nature is common in competent, brittle rocks and often develops with some violence and little or no warning. Such ?strain bursting? produces easily measurable seismicity, events often being audible as well. In the slope situation, the expected physical manifestation of this behaviour would be popping off of rock slabs and plates of rock from slope surfaces and popping up of the pit floor, as well as the formation of new fractures within the rock mass. Such behaviour may cause overall slope failure, or may initiate failure, which may then be driven to overall slope failure by other influencing factors or combinations of factors. In addition to instability resulting from the fracture surfaces themselves, all induced fracture surfaces could interact with natural geological structures to facilitate formation of a significant failure surface. With suitably orientated joints, extension strains are likely to manifest themselves in the opening up of such joints and hence in the loosening of the rock mass in a preferential orientation, with potential effects on groundwater flow patterns.

Jan 1, 2003

By O. F. Brown

The use of quality materials (aggregates and asphalt binder) in optimal proportions is the key to producing optimally performing hot mix asphalt (HMA). The Superpave mix design standard in the US introduced specific volumetric and binder property requirements in HMA design. Different methods for HMA constituent proportioning have been proposed in various guidelines. The design process to determine the HMA blend is currently iterative and engineers rely almost exclusively on experience. This approach is time consuming and often does not result in cost-optimal HMA mixtures. This paper introduces a mixed integer linear programming (MILP) optimization model for hot-mix asphalt constituent proportioning. The MILP model minimizes the total mix cost while satisfying all the volumetric, binder and mix property specification requirements. The model has been successfully validated with real-life example. The aggregates and binder ratios from the model were in close agreement with those from the contractor. The Bailey ratios and the gradation constraints were also satisfied. The cost of the optimal mix was $0.804/Mg less than that of the contractors?. This marginal reduction might make all the difference in an industry that is highly competitive. The MILP model also demonstrated that adding RAP to the contractor?s design would reduce the cost of the blend by $5.74/Mg. The virgin binder content was reduced by 1% because of the recycled asphalt contained in the RAP. This work represents the first successful attempt in incorporating both aggregate and asphalt performance requirements into the optimization formulation. Applying these models will ensure the minimum cost mix that meets all constraints and will increase profit margins for plant operators.

Jan 1, 2012

By E. Pizarro, A. Videla, G. Compan

One of the main problems related to mining investment decisions is the use of accurate prediction models. Metallurgical recovery is a major source of variability, and in this regard, the Chuquicamata processing plant recovery was modelled as a function of geomining-metallurgical data and ore characteristics obtained from a historical database. In particular, the dataset gathered contains information related to feed grades, ore hardness, particle size, mineralogy, pH, and flotation reagents. A systemic approach was applied to fit a multivariate regression model representing the copper recovery in the plant. The systemic approach consists of an initial projection of the characteristic grinding product size (P80), based upon energy consumption at the particle size reduction step, followed by a flotation recovery model. The model allows for an improvement in the investment decision process by predicting performance and risk. The final geometallurgical model uses eight operational variables and is a significant improvement over conventional prediction models. A validation was performed using a recent data-set, and this showed a high correlation coefficient with a low mean absolute error, which reveals that the geometallurgical model is able to predict, with acceptable accuracy, the actual copper recovery in the plant.

Jan 1, 2015

By Sharpin P. C

The countercurrent gas-solid heat transfer during the drying of brown coal briquettes in the pilot carbonization plant at Morwell has been analysed and theoretical gas and solid temperature distributions through the drier have been calculated. Although the calculations rest on several simplifying assumptions, the theoretical temperature distributions compare well with those observed in practical operation. Valuable conclusions are reached as to the effects of changes in drier operating conditions on the rate of drying of the briquettes which controls the strength of the char produced. The analysis shows why a limitation was reached in the improvement of char strength in the pilot plant in 1961 due to the performance of the drier and a prediction is made of a way in which the limitation could be overcome.

Jan 1, 1966

By S. Coats, G. Norton, A. Benham, P. Ková

The Aynak copper deposit, located 30 km south of Kabul in Afghanistan (Figure 1), was discovered by Soviet geologists in the 1970s. Extensive exploration undertaken in the area between 1974-80 included several hundred boreholes, seventy trenches and nine exploratory adits. This work identified a “drill-indicated resource” of 240 Mt at 2.3% Cu (ESCAP, 1995).

Jan 1, 2007

By Brian W. Stump

Seismic networks provide the primary technology for monitoring compliance with a comprehensive test ban treaty. The design goal of the network is the identification of possible clandestine explosions detonated below the earth’s surface and possible in the oceans. Complementary technologies such as infrasonic, hydroaccoustic and radionucleide (particulates and noble gases) monitoring supplement the seismic monitoring covering explosions in the atmosphere and oceans. Seismic sources that will produce detectable signals will be both natural and man made in origin. Naturally occurring events include earthquakes, many of which are beneath the oceans or deeper than it is possible to drill, and volcanic eruptions. Accurate locations of such events to depths of beyond 10 km precludes consideration of these events further.

Jan 1, 1995

By Frederick C. Tompkins

A complete service system was established for the monitoring of personnel exposure to N02 based upon the use of passive dosimetry. This system is structured such that minimum effort is required of the user: manufacturing, analysis, reporting, and record keeping functions are provided by the service organization. A field evaluation program was carried out in a dieselized mine to assess the performance of two passive dosimeters, the Walden GASBADGE TM dosimeter, and a tubular dosimeter developed at New York University. Side-by-side comparisons were carried out to evaluate dosimeter suitability for monitoring in the field, and to assess relative accuracy characteristics.

Jan 1, 1976