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By S. A. Abdel Sabour

Conventional methods for selecting a production plan for an open pit mine is based on the assumption that ore grades throughout mine life as well as market variables are known with certainty. Another important issue that is also being ignored in the conventional procedure is the value of management flexibility to revise operating policy with time according to the arrival of new information. Based on this oversimplification of reality, an optimum mine plan that is thought to be maximizing net present value (NPV) of the project is selected. Given the multiple sources of risk affecting the estimated NPV, there is a high probability that the actual value will be different from that estimated. This could mislead decision making process regarding selecting an optimum mine plan. This paper proposes a multi-criteria ranking system for selection between alternative mine designs under both geological and market uncertainties. The system is based on integrating multiple market and geological uncertainties as well as the operating flexibility to revise the ultimate pit limits using a Monte Carlo-based real options valuation (ROV) model. To compare the methods, the article applies the proposed system, along with the conventional NPV-based method, to rank possible mine designs for a copper and a gold mine. It has been found that, considering multiple risk analysis measures while integrating uncertainty and operating flexibility results in selecting a mine design that is different from that selected by the conventional method.

Jan 1, 2009

By Ted Klemetti

Roof deterioration in weak moisture-sensitive rock leads to roof falls in coal mines. An observation site was set up in intake air at an underground coal mine in central Ohio to evaluate the time-dependent deterioration of moisture-sensitive roof rock. By periodically collecting and weighing the rock falling from the roof, the National Institute for Occupational Safety and Health (NIOSH) was able to quantify the deterioration of the moisture-sensitive shale roof. The measurements showed that more roof rock is falling in the dry winter months. Movements in an intersection were monitored in order to determine if deformation correlated with seasonal changes in temperature and humidity. The rate of intersection roof-to-floor convergence was found to be cyclical and related to seasonal changes, with more convergence during the months of April through September. At the study site intersection, the roof beam did not show deflection indicating movement most likely due to mine floor deformation. The bolt load also increased in the warmer months before shedding load, possibly due to rock failure. Temperature and relative humidity sensors, placed in holes in the roof show that mine air does not mix with the air in the holes. Consistent saturation levels of relative humidity were measured in the holes and it appears that high levels of moisture may have migrated into the bolt holes from roof shales. A roof sealant applied to a portion of the test roof appears to be preserving the roof and reducing the amount of rock fall into the entry, while the screened area virtually eliminated rock falling from the roof.

Jan 1, 2009

The first thing to be aware of is that the warming effect of carbon dioxide is strongly logarithmic. Of the 3¦ that carbon dioxide contributes to the greenhouse effect, the first 20 ppm has a greater effect than the following 400 ppm. By the time we get to the current level of 384 ppm, each 100 ppm increment will produce only about 0.1¦ of warming. With atmospheric carbon dioxide rising at about 2 ppm per annum, temperature will rise at 0.1¦ every 50 years for the next couple of hundred years before the effect becomes minuscule. The warming of the 20th century, as the Earth came out of the Little Ice Age, was a consequence of short, high-amplitude solar cycles. A number of solar physicists have predicted that the next solar cycle, Solar Cycle 24, will be quite weak. Based on the correlation between solar activity and the EarthÆs climate, a temperature decline of 2¦C is predicted for the mid-latitude regions over the coming decade, equating to the experience of the Dalton Minimum. Anthropogenic warming due to carbon dioxide will not ameliorate this temperature decline. Increased atmospheric carbon dioxide is wholly beneficial due to itÆs fertilisation effect. Efforts to inhibit Australian carbon dioxide emissions are exactly wrong in science.

Jan 1, 2009

By Arnold Hammons

Automated temporary roof support (ATRS) systems have been incorporated into roof bolters since the 1970?s. During roof bolting, many injuries have occurred from large pieces of draw rock falling inby the ATRS beam and tipping back into the operator?s area. Other injuries have occurred due to smaller, sharp rocks falling onto the operator?s hand and arm during initiation of roof bolt drilling. These injuries are attributed to weak immediate roof, sometimes called roof skin failure. Even though ATRS systems support the roof and provide a measure of protection against roof skin failure, additional hazards sometimes do exist immediately inby and outby the supported roof. Design innovations such as the ATRS mounted rocker pad deflector systems have been designed to improve the roof bolter operator safety. This paper will inform the reader of the hazards, machine evolution through different design solutions, and the current state of the art in preventing roof skin failure injuries when roof bolting.

Jan 1, 2009

By E. R. Spencer

An assessment of U.S. western hard-rock miners? noise exposures was conducted as part of a multi-year National Institute for Occupational Safety and Health (NIOSH) survey of noise exposures in each sector of the mining industry. Noise from selected mining equipment and operator noise exposures were measured, analyzed, and tabulated for dissemination to the participating sites and are being used to direct NIOSH research and interventions to address the greatest noise hazards. Eighty-two noise dosimeter measurements were obtained, along with time-motion studies as the miners operated hard-rock mining machines. Ninety-six percent of the operators had daily noise doses that exceeded the Mine Safety and Health Administration?s permissible exposure level. The average gold miner dosages while operating the following equipment were: haul trucks - 261%, load-haul-dumps (LHDs) - 235%, single boom drills - 221%, bolters - 214%, and dual boom drills - 163%. The worst exposure level was a silver miner with a daily dose of 873%. Time-motion data showed that this miner?s exposure accumulated most rapidly while operating a jack-leg drill. These results will be used to help prioritize noise control development by NIOSH and other partners. Disclaimer: The findings and conclusions in this report have not been formally disseminated by the National Institute for Occupational Safety and Health and should not be construed to represent any agency determination or policy.

Jan 1, 2009

By M. S. Riyazulla

A model of a new laboratory magnetic separator has been conceived to cater the needs of process engineers and mineralogists world over engaged in mineral characterization and beneficiation. It would be essentially a laboratory instrument for the separation and concentration of various ferro and non-magnetic minerals. Based on the basic concept of Frantz Isodynamic Magnetic Separator, the new separator conceived would not only speed up the work of a process mineralogist and save the energy, but it would effectively separate and sequentially produce about fourteen fractions at a time. In the present paper, the probable operational procedures and the design have been discussed in detail for the various mining companies to assess its economic feasibility. If it could be fabricated, it would have a worldwide market The concept has been patented in author?s name in India.

Jan 1, 2009

By H. Von Michaelis

The world is rapidly becoming more ?green? i.e. energy conscious. Since mining and mineral processing are massive energy users, the mining industry is seeking ways to reduce its energy footprint. In mining and mineral processing operations, energy is often the most expensive cost item. Comminution, i.e. grinding, is frequently the most energy-intensive step between mine and metal. High pressure grinding rolls (HPGR) are being installed in a rapidly growing number of ?hard rock? mineral processing operations. In the energy conscious cement industry, HPGR grinding has been standard practice for decades. HPGR is known to be energy-efficient; the question is how energy efficient? How can the energy efficiency of HPGR be enhanced? This paper reviews recent HPGR applications for the processing particularly of copper, gold, platinum, PGM-Ni-Cu and iron ores. HPGR technology is discussed with respect to energy efficiency. The harder the ore the greater the energy savings are likely to be. Typical energy savings of 10?20% can be expected when installing HPGR vs. a SAG mill. Wipf(2005) showed why conventional Bond Work index tests on HPGR product is likely to under-estimate the energy savings that can be achieved by installing HPGR. Energy efficiency of HPGR is, however, ore-specific. The biggest energy savings of HPGR tested thus far is 9.5 kWh/tonne claimed for Vista Gold?s Mt. Todd gold ore from Western Australia, a savings of over one-third of conventional SABC comminution energy. Several commercial scale iron-ore pellet feed plants install HPGR for fine-grinding of concentrate to increase the surface area of pellet feed in a manner that reduces overall energy consumption. Energy-consumption in comminution is, however, only part of the energy savings benefit story. HPGR typically also reduces the amount of steel lost through wear of mill liners and media. Marsden(2008) showed that when the energy that would have been consumed to produce the steel that is saved by applying HPGR is factored in, then the overall energy savings of HPGR is considerably greater. Johnson et al.(1988, 2005) tested HPGR in a flowsheet in which energy savings of around 50% can be expected if HPGR product screen oversize is recirculated to the HPGR. Innovative flowsheets have been proposed by Rule et al.(2008) and by Morley (2008) which are expected to result in significantly increased energy savings. HPGR applied in flowsheets in conjunction with coarse ore separation devices, e.g. ore sorting or DMS to remove barren waste from HPGR feed promises significantly greater energy efficiencies. Fine-grinding and ultra-fine grinding of ore or concentrates in conventional ball mills results in energy consumptions that increase exponentially with product fineness. Wipf (2009) presented a flowsheet in which he proposed the installation of HPGR ahead of the Aerosion ?Disintegrator? for ultra-fine grinding of ores and/or concentrates. This dry grinding arrangement is expected to achieve ap80 = 7 µm using up to 100 kWh/t less energy than could be achieved by wet ball milling. Using conventional comminution, an ore might require grinding to p80 = 45µm (? 325 mesh), for example, to liberate the valuable components, e.g. magnetite, from gangue, e.g. silica. Inter-particle comminution in HPGR may break some ores along grain boundaries thereby liberating valuable minerals from gangue at a much coarser particle sizes. Early magnetic separation rejection of silica gangue liberated from magnetite by HPGR at coarser grain sizes could further reduce downstream comminution energy consumption.

Jan 1, 2009

Water is required as a key strategic resource in most mining and metallurgical processes and, in some countries, it has become a limiting supply for the development of mining activity. During the last years, mining industry efforts have been successfully focused on water use efficiency in the different processes. However, these efforts will not be sufficient to compensate for the growing demand of mining products and the decrease of ore grades. New efforts should be oriented to the search for alternative water supplies such as sea water, with or without desalinisation, or water harvesting. But to survive this growing pressure and to get a social licence to operate, the mining industry can also assume a proactive attitude and pursue a prominent role in water management at regional and local scale. This paper reviews some of these emerging issues, particularly in the context of the Chilean copper industry.

Jan 1, 2009

By Joshua Hoffman, Braden Lusk, Kyle Perry

Despite its porous and lightweight characteristics, aluminum mesh is believed to have blast mitigation properties. The current use of the mesh includes fuel tanks for airplanes, boats, and fuel stations as well as light armored vehicles for the military. The mesh acts as an explosion suppressant by preventing fuel tanks from exploding when exposed to an ignition source. More recently, work has been performed to assess the ability of the mesh to mitigate blast pressures produced by high explosives.

Jan 1, 2009

By F. M. Doyle

Ion flotation shows great promise for recovering and removing metal ions from dilute process streams, either for environmental compliance or to recover values. This technique uses an ionic collector to concentrate non-surface active colligend ions of the opposite charge from a bulk solution at the solution?vapor interface. With a sufficiently large solution?vapor interfacial area (provided, for example, by sparging gas through the solution), the colligend can be concentrated and removed along with the collector in a foam phase. A key limitation on using the technique in the minerals industry, where many process streams contain a variety of ions and have relatively high ionic strengths, is the need to control which ions are interacting with the collector. Here the effect of three different chelating agents, namely dodecyldiethylenetriamine (Ddien), ethylene diamine tetraacetic acid (EDTA) and triethylenetetraamine (Trien), on the selectivity of copper, nickel and cobalt, or copper and alkaline earth metal ions, is reported. The results are discussed in terms of their implications for adoption in the minerals industry.

Jan 1, 2009

By L. Yuan

In the U.S. coal mining industry, most spontaneous combustion fires occur in longwall or worked-out gob areas. In order to reduce the fire hazard caused by spontaneous combustion, it is important to understand how ventilation and gob characteristics affect the spontaneous heating process. Given the difficulty to conduct field tests in such an environment, a computational fluid dynamics (CFD) study was conducted to investigate the effects of ventilation and gob characteristics on the spontaneous heating process in longwall gob areas. Two longwall panels with a bleeder ventilation system were simulated. The spontaneous heating is modeled as the low-temperature oxidation of coal in the gob using the Arrhenius rate law and kinetic data obtained from previous laboratory-scale studies. The heat generated from the spontaneous heating is transported by convection and conduction, and oxygen and the oxidation products are transported by convection and diffusion. Unsteady state simulations were conducted with different ventilation conditions and gob permeability distributions. The ventilation parameters varied in the simulations are the pressure at the bottom of the bleeder shaft and regulator resistance in the second entry inby the longwall face.

Jan 1, 2009

By F. Heivilin

If the past is the key to the future, we will have ?tough? times maintaining Industrial Mineral reserves we have and proving new reserves around our plants and in new locations. The tough times will come from resources being more difficult to find, more hoops to go thru to make them Proven or Probable reserves. As always, Industrial Minerals require competitive quality, location, and costs. Since in most cases the market has suppliers, you will have to take away customers from their present supplier. This may take years or not happen even with lower cost higher quality raw materials. To determine the finished cost for a new deposit you need to design, determine capital costs, and operating costs for a new plant . Stripping, mining, hauling, processing, and transportation costs are part of the equation. After satisfying that your costs are in line you will need to do production tests to make sure the process works on the ore. You may want to complete permitting before purchasing the property. If you are new in the business you will have to prove you can deliver the right quality, the right quantity, on time consistently year after year at lower cost to take away a customer. Without being in the market this will be hard. The cut off grades to enter a market may be much lower than sale indicates because a competitor often lowers the price to keep you out of the market. We have many more items to check before the new deposits can be put on reserves. Our old reserves will require drilling to check for new products and prove that they do not contain items that would make them unusable for our product line or cause permitting problems. Archeological checks, wetlands, more water discharge testing, county zoning, and endangered species are among many items that have been added to mine permits. There will be more. A 4-6 page mining permit becomes 30-300 pages and consists of 5-15 permits, any of which might be a fatal stumbling block. It is not guaranteed that we can mine what we have on reserves. We may fight and lose. Oil-Dri?s loss in Reno and LaPort?s in England are examples where permitting failed. The NOx, sulfur, and carbon problems are just starting. Dioxin is in the background requiring monitoring on food products to Europe. What other anions, cations, endangered species, and land types are going to be problems in the future are guesses now. What new products are we going to have to test for and cause out of balance reserves? If there are none we probably won?t be here. We are competing for land use with ?Endangered Species?, wetlands, farming, forestry, cities, roads, and hunting. We?ve mined the best quality, low overburden, easiest to mine and process raw materials. The price of land and taxes are increasing. Old royalties are 2-3 times the present acre value instead of 8-10 times the property value when leased. Land taxes are up. It was and is best that we get the land in Fee Simple Title. This isn?t always possible. However, plants are closing and people have overlooked, made mistakes in drilling or interpretation of deposits. These may be opportunities. China is eating up high quality ?Industrial Minerals ?which have caused prices to rise. We may need to change our cutoffs? in terms of smaller pit sizes and higher overburden ratios. This is money in the bank. Overburden ratios and other items increasing cutoff costs need to be rethought. Suddenly doubling cutoff ratios for overburden and decreasing pit sizes are good alternatives to looking elsewhere where we might not be able to mine for a number of reasons. The higher prices make them competitive, especially when a competitor goes out of business. However, our low overburden ratios and short hauls around our plants are not safe from new roads, condemnation by county or city governments (N. J.), zoning changes (Reno, FL., CA, and environmental regulation changes (Buffers GA, MS). New roads ?Interstates? can take reserves, increase hauling distances and reduce tons per load. Let?s combine the Refractories, fullers earth, and bentonite industries and use the last 40 years as a guide to the future looking for problems and opportunities. Some or most of the following will apply to other minerals. WHERE DO WE LOOK? First, on our own properties, those next to our properties and on properties near our competitor?s plants. Where the profit margin has increased, the distance from the plant and thickness of overburden we can use is increased. The thickness of clay is decreased. For new locations we pick the ideal location and look at deposits and closed or open operations in ever increasing distances away from that location. We need to be aware of: 1. Increased transportation costs a. Access to Roads -Backhauls b. Haul with doubles and triples c. Railroads - Loading on sidings - Ability to get switches - Cars/backhauls versus rates 2. Cost of building a new plant 3. Cost of infrastructure 4. Cost of repair or new equipment when purchasing an operating or shutdown plant. 5. Local, state, and federal mine and environmental permitting. When exploring around an established operation expect that property acquisition, drilling, mining, stripping, and hauling costs will be greater due to them having second, third, or even fourth the pick of the deposits. I found this in New Jersey looking for refractories and around Quincy, Florida looking for attapulgite. You may be able to get some better properties because the operating company has angered some land owners, their drillers missed the clay, or the property wasn?t available when they were actively exploring for reserves. You may have some product lines your

Jan 1, 2009

By J. O. Roux

The Impala Platinum Limited Base Metals Refinery in Springs, South Africa, refines convertor matte containing base metals and PGM?s (platinum group metals) using a hydrometallurgical process. In addition to a PGM-rich concentrate that is further refined, the Base Metals Refinery produces nickel (in powder or briquette form), copper cathodes and cobalt powder. Five leaching stages are utilized to remove the base metals and impurities from the PGM concentrate. The project described in this paper involves a radical redesign of the second stage leach autoclave with the aim of reducing maintenance costs and downtime, increasing throughput and ensuring a safer working environment. The second stage leach process at the Base Metals Refinery, produces a PGM-rich residue through the extraction of copper and any remaining base metals from the first stage leach solid residue material. Leaching is performed in an autoclave operating at a pressure of 600 kPaG and a temperature of 140°C to 150°C. Concentrated H2SO4 is added to the feed to produce a solution with a free acid content between 10 and 30 g/L and a pH of less than 2. Oxygen is passed into the 1st and 2nd compartments of the autoclave. As a result of the aggressive, highly oxidizing conditions within the autoclave, the original design utilized a heavy wall carbon steel shell with lead lining and two layers of acid bricks. The bricks acted as a wear resistant material and ensured a low surface temperature at the skin of the lead lining, whereas the lead lining acted as a corrosion barrier to protect the steel shell. These brick lined autoclaves were heavy, maintenance intensive and prone to catastrophic failure. A radical autoclave redesign was needed to reduce the high costs of manufacturing, installation and operation. Finite element modelling was used to optimize the design and various high alloy materials were investigated for the application. Based on extensive test work, the carbon steel shell was replaced with duplex SAF 2205 stainless steel in the new design. The use of this highly corrosion resistant material, eliminates the need for the lead and brick linings and reduces the wall thickness requirements substantially, resulting in an increase in the available volume for the same external shell dimensions. The vessel is welded in circular sections to form an elongated, impermeable, cylindrical body, with several agitator nozzles and compartments. The first new duplex stainless steel unit has been in continuous operation for more than 24 months and its performance has exceeded the highest expectations. The design was so successful that a patent has been registered. The major benefits of the new stainless steel design include increased throughput, improved performance, less downtime and a safer working environment. Lead has been eliminated and replaced with a more environmentally safe material, and the total lifespan of the vessel has been extended. In addition, the autoclave project has made significant developments in advancing the field of welding and optimizing the integrity of welding quality standards in South Africa.

Jan 1, 2009

By S. Bellec

A leaching model for gold ore that takes into account the impact of cyanide and oxygen concentrations as well as gold surface exposure on leaching performance is developed. Cyanide consumption is estimated by an empirical model that is a function of ore particles size distribution as well as cyanide, copper and sulphur concentrations. The proposed model has been validated by data from laboratory leaching tests on the Sleeping Giant gold mine ore. Keywords: gold leaching, modelling, exposure surface.

Jan 1, 2009

By J A. Singer, S R. Iverson, C A. Link

High resolution seismic refraction tomography has proved to be a useful tool to effectively estimate depth of blast induced damage in a mine face. Excavation blast damage can be as shallow as 1 to 2m and requires resolution at a fraction of a meter for effective imaging. We used an accelerometer with flat frequency response to 1000Hz to record data at spacings of approximately 0.25 to 0.5m along mine walls. First arrival times from the seismic data were used to produce P-wave velocity tomograms. The tomograms show transition from low velocity zones to velocity associated with competent rock. We interpret the low velocity zones to indicate residual fracturing from blasting. Experiments on a concrete test block and at two underground mine locations give results that are consistent with fractured rock transitioning to competent rock. Our method can be applied efficiently in an underground environment to provide continuous velocity information with depth into a mine wall over a span of approximately 10m.

Jan 1, 2009

Partition models are commonly used to assess the separation performance of circuits incorporating density-based processes. Unfortunately, this useful tool has traditionally been overlooked by the heavy minerals sands industry due to difficulties associated with the use of toxic dense liquids. In the present study, this problem has been avoided via the development of partition models based on experimental data from microscopic grain-counts. This technique, which uses different mineral species as density tracers, provides a new tool for evaluating the multi-stage circuits that are required to successfully upgrade heavy mineral sands. The partition model approach easily identifies shortcomings of existing circuits and, when used with conjunction with linear circuit analysis, provides tremendous insight regarding the optimum arrangement of unit operations in terms of separation efficiency and plant throughput capacity. An industrial case involving the redesign of a heavy mineral sand spiral plant is presented to demonstrate the utility of these process engineering tools in plant optimization.

Jan 1, 2009

By W. D. Monaghan

Flame cutting and welding is one of the major causes of fires and explosions in underground U.S. coal mines. On May 20, 2006, a flame cutting operation at the Darby Mine No. 1 led to an explosion that resulted in five fatalities. On January 22, 2003, another explosion caused by flame cutting at the McElroy Mine resulted in three fatalities and three serious injuries. On June 22, 1999, a flame cutting and welding operation at the Loveridge Mine caused a fire that resulted in sealing of the mine for an extended period. Finally, on March 19, 1992, an explosion at the Blacksville No. 1 Mine that was caused by welding resulted in four fatalities. The National Institute for Occupational Safety and Health (NIOSH) conducted a study on fires and explosions in underground U.S. coal mines that were caused by flame cutting and welding operations to determine the root causes of these types of fires and explosions. The methodology included interviewing mining personnel who perform flame cutting or welding operations in underground U.S. coal mines and visiting mines to observe these operations, and MSHA reports of investigations and accidents statistics were analyzed. The results were used to identify and compare differences between flame cutting and welding practices and techniques in small and large mines, Eastern and Western mines, low seam and high seam mines, room and pillar and longwall mines, and between experienced miners and new miners. As a result of this study, best practices and interventions were developed to reduce the number of fires and explosions caused by flame cutting and welding. This paper provides a summary of this work. Disclaimer: The finding and conclusion in this report are those of the authors and do not necessarily represent the views of the National Institute for Occupation Safety and Health.

Jan 1, 2009

By O. A. Bascur

The lack of integration of mining and metallurgical information with sufficient detail for analysis causes inefficient operation and hence sub-optimal energy and water use. It is difficult to analyze the performance of mining and metallurgical processes without an integrated view of mine transactions, stockpile inventories, process flows and assays. To take action requires real time information from manufacturing assets, corrected for gross errors from trucks, shovels, conveyors, faulty sensors, bad instrument calibration. This paper presents an infrastructure with advanced tools that sift through available data, identify and eliminate gross errors, and transform the data into business information for continuous improvement and optimization. Collaboration is a key component of improving efficiency of energy and water use, and the evolution of Web technology enables collaboration and troubleshooting of plant information to more quickly act on issues to reduce wasteful operation. Keywords: Mine Concentrator Optimization, Real Time Performance Management, Data Unification, Integration of Operational and Business systems, Mass and Energy Balances, Real Time Web Services, Equipment Availability, Efficiency.

Jan 1, 2009

By Robert J. Maron, Mark Fernald, Alex Van der Spek, O’Keefe. Christian, Tim Bailey

"Sonar array-based non-invasive flow measurement technology is becoming an accepted and many times a preferred method of measuring challenging single and multi-phase flows in the mineral processing industry. This fundamental sensor and measurement technology has been extended to two developments that provide new measurement capabilities useful for monitoring and managing slurry flows and pipes.The first development is the non-invasive measurement of real-time velocity profile of slurry flow in horizontal pipes. Multiple non-invasive passive sensors measure localized velocities and are combined to provide a velocity profile measurement. This information can be used to determine the approach and onset of solid deposition on the bottom of the pipe. Having this information in real time can enable operation at lower velocities and/or higher solids concentration while avoiding solids deposition or plugging and its associated operational costs.The second development is the non-invasive measurement of pipe wear on slurry lines. Presently, such measurements are made by hand-held portable ultrasonic thickness gages. The numerous shortfalls associated with the manual method are overcome with a set of permanently or semi-permanently installed transducers clamped onto the outside of the pipe. This ring of sensors contains a series of conformable ultrasonic transducers spaced around the circumference, which are used to measure the thickness of the pipe under their respective locations. Compared to manual methods, this system and approach results in better repeatability and accuracy. It also decreases inspection labor costs and pipe access requirements. The minimal accuracy variations in the presence of varying environmental temperatures will be shown. Trending of pipe wall thicknesses in high wear pipelines will be illustrated. The benefits of significantly improved pipe wear monitoring in hydrotransport lines with abrasive solids, and associated improvement in the ability to insure safe operation and avoidance of costly environmental damage due to leaks caused by pipe wear will be discussed."

Jan 1, 2009

By R McCarthy, P Hawke

FerrAus Ltd's Robertson Range and Davidson Creek Projects are located in the Hamersley Province about 100 km east of Newman, Western Australia. Significant iron mineralisation defined by an aggressive exploration program within the Marra Mamba Iron Formation is shallowly north dipping at Davidson Creek, and mainly shallowly east dipping at Robertson Range, forming part of a regional scale anticline with the granitic and greenstone basement of the Sylvania Inlier as its core. With minor exceptions, the stratigraphy is comparable with that seen in the main Hamersley Basin. Granite and greenstone basement rocks of the Sylvania Inlier are unconformably overlain by shales and volcanic rocks of the Fortescue Group. The overlying Hamersley Group is locally represented by interbedded chert, banded iron-formation (BIF) and shales of the Marra Mamba Iron Formation (Nammuldi, MacLeod and Mount Newman Members), and dolomites, cherts, BIF and shales of the Wittenoom Formation. Iron enrichment occurs predominantly in the Mount Newman Member, and to a lesser extent in the West Angela Member of the Wittenoom Formation. Enrichment varies from 20 - 30 m in thickness in elongate bodies up to 3 km in strike length, and generally thins down dip. At Davidson Creek iron mineralisation is a haematite-goethite-ochreous goethite assemblage, while at Robertson Range this assemblage is consistently overprinted by a later, goethitic alteration related to 'hardcap' weathering. Near surface hardcap alteration in both project areas comprises more siliceous, aluminous and vitreous goethite. Initial exploration completed by Rio Tinto Exploration between 1999 and 2001 indicated the potential for about 20 Mt of iron mineralisation at Robertson Range. Since 2005 a detailed exploration program undertaken by Australian Manganese Pty Ltd (a wholly owned subsidiary of FerrAus Ltd) has defined a global indicated and inferred resource totaling 164.4 Mt at 58.6 per cent Fe (ASX: FRS 17 April 2009).

Jan 1, 2009