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By H. D. Mtegha

The Southern African Development Community (SADC) aims to harmonize mineral policies and regulatory regimes in the minerals sector. This paper provides a review of the progress made towards harmonization of mineral regimes in the region. It singles out only the mining fiscal environment, as this is normally one of the key issues of interest to potential investors as well as the host state. Indications are that the region is slowly progressing towards a more harmonized approach, and there is evidence that the ?race to the bottom? has been prevented, which is the basis for an integrated mineral sector that the region aspires to.

Jan 1, 2011

By C. C. Pretorius, S. Ramjee, R. J. Mostert

The study investigates the effect of prior corrosive exposure on crack growth resistance behaviour of thin sheet (3 mm thick) aluminium alloy 2024-T3 at slow strain rates. Compact tension specimens were exposed to standard corrosive environments that simulate accelerated atmospheric corrosion attack. Two corrosive environments were considered – an exfoliation corrosion (EXCO) solution and a 3.5 wt% sodium chloride solution. The unloading compliance R-curves of the two-hour EXCO-exposed specimens revealed a significant degradation of approximately 11% in the crack growth resistance behaviour (Kc_e values) compared to the baseline (air-exposed) values. Furthermore, secondary intergranular crack formation was also revealed in the plastic zone ahead of, and adjacent to, the crack tip of these specimens; which formed during the crack growth resistance loading. It is postulated that the observed degradation of the Kc_e values of the EXCO-exposed material is due to hydrogen embrittlement since the exposure times for the EXCO evaluation were limited to ensure that uniform corrosion dominated; that is, significant penetration of corrosion damage and pitting due to localized corrosive attack did not occur. The sodium chloride-exposed specimens revealed a similar degradation (13%) after 24 hours exposure. However, slight intergranular corrosive attack and isolated pitting were observed on the exposed surfaces prior to crack growth resistance loading, resulting in notch effects that could assist in crack growth. Pitting and intergranular corrosion were, however, not observed at the pre-crack tip. The relative contributions of the notch effects and the hydrogen embrittlement during the degradation of the KR performance are, therefore, unclear.

Apr 1, 2021

By B. Gamble

Solid Energy's project evaluation process utilises a standard staged gate approach, with five levels leading ultimately to project execution (level 6). For a project to progress through each level, specific financial criteria need to be satisfied. Solid Energy primarily use value based (discounted cash flow) metrics to support investment decisions. Within this approach Solid Energy utilise a number risk-based techniques to quantify project uncertainty. This includes the use of risk-based probabilistic analysis using Monte Carlo simulation and probability-based scenario analysis. Figure 1 shows the net present value (NPV) cumulative probability. Project risks are identified through comprehensive risk workshops. The output of these workshops (list of key risks, ranges of uncertainty and probability of occurrence), is quantified within the financial models. Incorporating this risk information on a probabilistic basis allows an investment decision to be made with a robust knowledge of the range of possible project outcomes along with the likelihood (probability) of those outcomes occurring, for example 80 per cent confidence that the project value will be greater than NZ$10 M, 50 per cent confident it will be greater than NZ$50 M and ten per cent confident it will be greater than NZ$70 M. Incorporating risk implicitly into the financial analysis allows the business to easily evaluate/measure projects with different risk profiles. The detailed risk analysis does away with the complexity of arbitrary risk-based hurdle (discount) rates, as projects can be evaluated based on their specific risk characteristics. Whether a project will progress to the next level of investment and ultimately into implementation depends firstly on the value assessment in comparison with the associated risk/uncertainty, and secondly matching this with the businesses appetite for risk. At Solid Energy standard criteria are used for specific project evaluations, but in addition projects are considered on a portfolio or strategic basis also. Solid Energy attempts to maintain a mix of low risk (low value) projects with some high risk (high value) opportunities. The mix of projects must remain in line with the shareholders' risk appetite. One of the keys to a successful investment decision is ensuring that the appropriate information is available to decision-makers so that they may proceed with a comprehensive understanding of the risks and impacts associated with the decision.

Jan 1, 2007

By D. Seke

Metal inventories are usually reported in financial statements of mining companies. However, the value of these inventories can be reliable only if the metals in stock are measured within acceptable tolerances. Reliable metal balancing requires accurate mass measurement, sampling, and chemical analysis. Many mining companies are usually unable to validate the accuracy of metals in inventories at the end of their financial year. This is mainly due to poor mass measurement, sampling, and chemical analysis practices. This has an adverse impact on metallurgical accounting and metal valuation. In addition, it puts a lot of stress on external auditors, who have the duty to recommend the approval of the financial statements to the board of directors. Although a full value chain of metal reconciliation includes the accuracy of Mineral Reserve definition and grade control at the mine, this paper discusses the implementation of best practices for mass measurement, sampling, and chemical analysis at processing plants. This is an important aspect of sampling and reconciliation that is required in order to improve the reporting of inventories in the financial statements of public mining companies. Keywords metallurgical accounting, corporate governance, sampling, analysis.

Jan 1, 2014

The role of research and development In the South African gold-mining industry Presidential Address given by M. D. G. SALAMON, Fellow, Dipl. Eng. (Mining) (Hungary), Ph.D. (Durham) The decision of the gold-mining industry in 1974 to embark on a major ten-year research and development programme was widely publicized at the time. In choosing a subject for this address, I felt almost obliged to use this opportunity to give an account of the progress of this undertaking. On reflection, however, I felt that a simple progress report would not suffice. It seemed important that the programme should be shown in persepective, and that its aims should be outlined to the mining and metallurgical engineering community, many of whom are vitally concerned with the well-being of the gold-mining industry.

Jan 10, 1976

By A. M. Engelbrecht

Paper written on project work carried out in partial fulfilment of B Eng. (Chemical) Membrane processes are vital to a diverse range of technical and biological systems, which also feature in mineral processing applications such as the treatment of mine effluent and extraction of metals. In this study, the use of cellular automata to model a semi-permeable membrane that separates two compartments is considered. Cellular automata are simple models that enable the analyst to represent well-understood local effects, such as the chemical or steric interaction between molecules themselves and between molecules or particles and their environment, which can lead to very complex behaviour on a macroscopic scale. Various physical phenomena, including reverse osmosis, were simulated. Initial results for the effect of temperature, membrane structure and chemical properties of the solutes on the performance of the membrane appear promising. Keywords: cellular automata, dynamic modelling, filtration, membrane fouling, osmosis.

Jan 1, 2007

By P. Syrjänen, Lovén. P.

Because geostatistics together with block modeling has not been studied in detail before in the rock mechanics, a two-year research program to investigate the practical use of geotechnical modeling was started in Finland in 1999. According to research work results block modeling gives good estimate of overall rock mass quality but it can not identify individual structures like faults and narrow weakness zones. Weakness zones and faults should be mapped from drill cores, surface mapping, geophysical methods etc. and manually generate 3-D structural model. Rock mechanical 3-D modeling can be used for preliminary stope dimensioning and preliminary reinforcement design. Detailed design needs rock quality mapping from drifts during excavation work. La géostatistique associée à la modélisation par blocs n'ayant pas été étudiée en détail jusqu'à présent dans la mécanique des roches, un programme de recherche sur deux ans visant à examiner l'utilisation pratique de la modélisation géotechnique a été lancé en Finlande en 1999. D'après les résultats des travaux de recherche, la modélisation par blocs donne une bonne estimation de la qualité générale de la masse rocheuse mais elle ne permet pas d'identifier les structures individuelles comme les failles et les zones géologiquement dégradées étroites. Ces zones et failles devraient être cartographiées à partir de carottes de sondages, d'une cartographie de surface, de méthodes géophysiques, etc. et générer manuellement un modèle de structure 3D. La modélisation mécanique des roches en 3D peut être utilisée pour un dimensionnement de la chambre et un plan d'armature préliminaires. Un plan détaillé nécessite l'élaboration d'une cartographie de la qualité des roches des galeries lors des travaux d'excavation. Da man früher Geostatik und Block-Modellieren in der Gebirgsmechanik nicht detailliert untersuchte, wurde 1999 in Finnland ein zweijähriges Untersuchungsprogramm in Angriff genommen. Aufgrund der Untersuchungsergebnisse ergibt das Block-Modellieren eine gute Beurteilung der gesamten Gebirgsmassenqualität, kann jedoch einzelne Strukturen wie Verwerfungen und kleine Schwachzonen nicht identifizieren. Schwachzonen und Verwerfungen müssen demnach aus Bohrkernen, oder mit Hilfe von Oberflächenkartierung, geophysischen Verfahren usw. ermittelt und danach ein 3-D-Strukturmodell manuell erstellt werden. Felsmechanisches 3-D-Modellieren ist für die vorbereitende Abbaudimensionierung und für die vorbereitende Bewehrungsplanung verwendbar. Ein detaillierter Entwurf benötigt die Kartierung der Gesteinsqualität aus den Gesteinsstrecken während der Ausbrucharbeiten.

Jan 1, 2003

By D. J. Mourant

Day-to-day operations on the Broken Hill mine of the Black Mountain Mineral Development (BMMD) Company require a detailed knowledge of the distribution of the ore minerals within the orebody. The data are acquired by systematic underground diamond drilling of the orebody and subsequent geological and analytical borehole logging. These data are then captured onto a database, available for further analysis. Before mining commences in a mining block, copper, lead, zinc, silver and bismuth assay values, and the specific gravity of each sample, are extracted from the database. 3-dimensional variogram and kriging calculations are performed for each geological zone; for all the metals of interest. A computer representation of the mining block in the form of an ore model is then built using these kriged data. From these ore models information is extracted as required by the Geology Department on the mine, and used in numerous operations. These include: daily grade control to supply optimum feed grades to the treatment plant; the compilation of short, medium and long term production schedules; orebody outline definitions for the detailed planning of mining operations; ore resource calculations. The system has been modified and updated since its inception and provides timely information in a production environment.

Jan 1, 1987

By C. F. Vos, J. D. Miller, J. C. Davidtz

"This work presents the potential for improving the flotation recovery of slow-floating sulphide minerals with the use of starvation dosages of a normal dodecyl (n-C12) trithiocarbonate (TTC) co-collector, together with a sodium isobutyl xanthate (SiBX) and dithiophosphate (DTP) collector mixture.At potentials below –150 mV (SHE), addition of nC12-TTC with SiBX improves the hydrophobicity of pyrrhotite, yielding captive bubble contact angles greater than those measured for SiBX or nC12-TTC alone, suggesting a low potential synergistic effect. This synergistic effect is further studied using Fourier transform infrared (FTIR) spectroscopy, the results indicating an increase in the surface concentration of the collector species when in a mixture. Thus, nC12-TTC with SiBX may act as an immobile surface anchor to which SiBX/SiBX2 molecules bond, increasing the localized concentration of collector species.Bench-scale flotation tests using mixtures of SiBX/DTP/nC12-TTC on a platinum group element (PGE)-bearing ore from the Bushveld Complex in South Africa confirm an improved metallurgical performance at very low substitutions (approx. 5 molar per cent) of SiBX. The improved recoveries for PGE, Cu, and Ni are correlated with improvements in the flotation kinetics of their slow-floating components. IntroductionShort-chain (less than C6) xanthates are very effective for the bulk flotation of sulphides (Fuerstenau, 1982), and early work (Leja, 1968; Gaudin, 1957; Plaksin and Bessonov, 1957; Taggart, Giudice, and Ziehl, 1934) indicated that the presence of oxygen in flotation slurries is necessary for the oxidation of the xanthate collector at the sulphide mineral surface to induce hydrophobicity. Fundamental research into the chemistry and adsorption mechanisms of xanthates over the years (Finkelstein and Poling, 1977; Woods, 1976; Winter and Woods, 1973) has revealed that for iron-bearing sulphide minerals, adsorption occurs predominantly through a charge transfer process. Oxidation of the adsorbed collector to the corresponding dimer takes place if the mixed potential of the system is greater than the reversible potential for dimer formation. In oxygenated slurries the rate of adsorption and oxidation of the collector depends greatly on the substrate surfaces. For chalcopyrite (Guler et al., 2005; Leppinen, 1990; Roos, Celis, and Sudrassono, 1990) and pentlandite (Hodgson and Agar, 1989) a two-step interaction with xanthate is proposed in which the chemisorbed xanthate is further oxidized to the dimer. The initial interaction of xanthate with pyrrhotite is through physisorption where xanthate physisorbs onto positive surface sites followed by oxidation to dixanthogen (Khan and Kellebek, 2004; Bozkurt, Xu, and Finch., 1998). This process is, however, slow and increased reaction time is needed to improve flotation recovery (Buswell and Nicol, 2002)."

Oct 1, 2018

By J. L. Gaigher

A simple mineralogical regression model is described, which was devised in order to help the flotation plant cope with rapidly changing headgrades and feed mineralogy. Minerals in the feed were determined by means of quantitative X-ray diffraction and compared with plant performance parameters and flotation reagent consumption rates, using regression analysis. A mineralogical regression model for predicting recovery served to motivate flotation plant personnel and also set standards whereby flotation performance could be measured. The reagent consumption model indicated in which direction any or all of five flotation consumption rates should be altered. All practically measurable parameters, even those showing poor or no correlation, were included in the model, provision being made for the continuous update of a batch of data of 30 lines. Compared with the method of multiple linear regressions, the r2 is poorer at 0,41 (versus 0,50), but the mean standard error of estimate for both methods is identical at ± 6,6 units. The regression model is simpler than the method of multiple linear regressions, and although the accuracy of prediction is not high (41%), the mineralogical regression model proved to be successful in practice. Flotation efficiency, as measured by the mean ratio of head to tails grade, for the 9 month period after the mineralogical regression model was implemented on an hourly basis, improved from 2,8 to 3,2, which is equivalent to an improvement in average flotation recovery of 5% relative.

Jan 1, 1987

By C. Zangerl, K. F. Evans, S. Loew

ABSTRACT: Settlements above fractured crystalline rock masses are rarely observed and in the past, geotechnical engineers would not expect substantial subsidence to occur in association with a deep tunnelling project. However, recent high precision levelling measurements along the Gotthard pass road in central Switzerland, have revealed up to 12 cm of subsidence along sections that pass several hundred metres above the Gotthard highway tunnel. Large-scale consolidation resulting from tunnel drainage and pore pressure changes in the rock mass are believed to be the contributing mechanism. This paper presents results from an extensive numerical modelling study focussing on the processes responsible for this subsidence. Results derived from 2-D discontinuum (i.e. distinct-element) and continuum (i.e. finite-element) modelling show that both discrete fracture deformation (i.e. fracture closure and shear) and poro-elastic consolidation of the intact rock matrix equally contribute to the observed magnitudes and shape of the surface subsidence trough. RÉSUMÉ: Des tassements aux dessus de massifs cristallins sont rarement observés et par le passé les géotechniciens ne prévoyait pas de subsidence significative associée avec des projets de tunnel profond. Cependant, de récentes campagnes de nivellement haute précision le long de la route du Col du Gotthard (Suisse centrale), ont mis en évidence des subsidences atteignant 12 cm sur des sections passant plusieurs centaines de mètres au-dessus du tunnel routier du Gotthard. Le mécanisme invoqué pour expliquer ce phénomène est la consolidation à grande échelle due au drainage du tunnel et aux variations de pression de pore dans le massif rocheux. Cet article présente les résultats d’une modélisation numérique intensive mettant l’accent sur les processus responsables pour la subsidence. Ces résultats obtenus grâce à des modèles 2-D discontinus (p. ex. éléments distincts) et continus (p. ex. éléments finis) montrent que la déformation sur des fractures discrètes (fermeture de fractures, cisaillement) ainsi que la consolidation poro-élastique de la roche intacte contribuent également aux magnitudes et aux géométries de subsidence observée en surface. ZUSAMMENFASSUNG: Beachtliche Oberflächensenkungen in einem kristallinen Gebirge, deren Ursache im Vortrieb eines mehrere hundert Meter tiefgelegenen Tunnels liegt, wurden bisher nicht erwartet und beobachtet. Dennoch wurden nach dem Bau des Gotthardstrassentunnels, entlang der Gotthardpassstrasse Oberflächensenkungen mit einem Maximalbetrag von 12 cm bei der Auswertung von Präzisions-Nivellements entdeckt. Dieser Maximalbetrag wurde in einem granitischen Gneis gemessen. Die örtliche Übereinstimmung zwischen dem maximalem Senkungsbetrag und dem maximalem Wasserzufluss zum Tunnel, und die zeitliche Abfolge von Tunnelbau und auftretenden Oberflächensenkungen lassen hydromechanisch gekoppelte Prozesse als Ursache dieser Gebirgsverformungen vermuten. In dieser Arbeit werden die Ergebnisse ausgedehnter prozessorientierter numerischer Simulationen präsentiert. Resultate aus den 2-D Diskontinuum (d.h. distinct-element) und Kontinuum (d.h. finite element) Simulationen zeigen, dass beide Verformungsmechanismen, d.h. an diskreten Brüchen und der intakten Gesteinsmatrix, gleichbedeutend für die beobachteten Senkungsbeträge und der Form des Setzungstroges verantwortlich sind.

Jan 1, 2003

By R. V. Ramani

Managers need quality information for effective decision making. This demand, at the present time, is being fulfilled by the increased use of computers via information systems, decision support systems and management information systems. The idea of incorporating intelligence into computers to aid decision-makers has been evolving for over two decades. In recent years, significant progress is reported on applications to business and sciences. In engineering functions, the Artificial Intelligence approach that seems to have great potential is the application of Knowledge Based Systems. The primary objective of this paper is to identify domains in mining engineering where application of knowledge based systems could be beneficial. In- corporation of the expertise required during the analysis and interpretation stages of an engineering design problem through knowledge based systems is recognized as an area of significant benefit. To this end, the components of knowledge based systems for mine ventilation and strata control design are described. The potential applications and limitations of knowledge based systems are outlined.

Jan 1, 1987

By A. Refahi

For predicting the energy consumption during the size-reduction process, the Bond approach is often used. In this work, the PFC3D discrete element method (DEM) software was employed to model the crushing behaviour of some rocks with different mechanical properties in a laboratory jaw crusher. FLAC3D software was adopted to analyze the stress distribution in the rocks. The rocks studied were modelled as granular assemblies in the shape of a sphere and/or a cube located between two jaws, and the work done by the jaws in the crusher was determined. Nine different types of rocks were studied and the energies consumed by the crusher were compared to those of the Bond comminution energy estimated from the Bond index. There is considerable difference between Bond crushing energy and work done by the jaw crusher for rocks. It appears that the Bond approach is not a suitable method for predicting single particle fracture energy done by the crusher. To verify the results obtained from DEM models, the fracture behaviour of the crushed rocks was examined and was compared to the PFC3D results. The tensile mode of fracturing is favourably modelled by the PFC3D software while the delamination mode cannot be well modelled by PFC3D software. Keywords: jaw crusher; discrete element method; crushing energy; Bond index

Jan 1, 2009

By S. Moodley

In the chloride process for Ti02 pigment production, various titania feedstocks (i.e. rutile, synthetic rutile, slag, and upgraded titania slag (UGS)) are chlorinated in a fluidized bed reactor with petroleum coke at temperatures between 1000°C and 1100°C to yield gaseous metal chlorides. Although feedstock preference is largely based on Ti02 content, feedstock physical properties (i.e. density, sphericity, size distribution, and porosity) differ; these differences will affect fluidization behaviour and can inadvertently affect conversion efficiency. For example, a high carryover from the reactor reduces particle residence time and decreases conversion rates. Owing to dwindling rutile reserves in the world, most chloride producers are forced to feed blends of feedstocks to their chlori¬nators; and so it becomes important to understand whether blends have an effect on the hydrodynamic properties of the bed. This paper describes the physical characterization of different feeds and the determination of the elutriation constants for slag, rutile, synthetic rutile, and a blend (i.e. 50 wt% rutile, 50 wt% slag). A common feature of the tests was that particles finer than 75 Km tended more than any other size to be elutriated. The tested rutile, classified as a Geldart Group B material, had the lowest carryover, whereas the slags had the highest. Interestingly, the elutriation constant (ki) of the blend is lower than those of either of its individual components.

Jan 1, 2012

By B. P. Watson

The discussion written by Dr de Frey suggests that mine design should be based on closely spaced stability pillars. However, this concept leads to low extraction ratios at depth. The concept of `crush' pillars in conjunction with more widely, appropriately spaced stability pillars allows for significantly larger extraction ratios, particularly at depth. It should be noted that the rock conditions in many areas of South African platinum and gold mines are good, allowing significant spans to be mined safely between stability pillars. `Crush' pillars are cut small enough to fail stably near the face under stiff loading conditions, and their residual strength is intended to support about 10 m rock height between stability pillars. While this support resistance cannot be achieved by conventional support, crush pillars have been proven to have the required capacity for this purpose. The concept of leaving smaller crush pillars with appropriately positioned stability pillars has been used successfully for more than 30 years in areas of South African platinum and gold mines.

Jan 1, 2011

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

Jan 1, 2007

By M. Kilfoil

Many minerals processing operations result in crushed rock being mixed with a liquid. Sometimes, the rock particles have to be dried before the next process begins and there may be a considerable distance between the equipment carrying out these processes. Bateman Engineered Technologies (BET) developed, patented and commercialized a method of simultaneous pneumatic conveying and drying. A joint project to assist with optimizing the process is under-way. Part of it is a numerical simulation of the process. The simulation is done using a dedicated program written in MATLAB, (commercial software which is widely used in engineering). It accounts for heat and mass transfer as well as particle transport. The main part of the program consists of a loop containing a series of equations which are evaluated sequentially. During any particular iteration, the properties are changed one at a time. Since the properties are changing relatively slowly, this method gives good results. The outputs of the simulation are consistent with the operational experience of BET’s engineers. The output is very comprehensive and all numerical. Since the program is currently being used for research purposes, flexibility is very important. Thus the output is converted into a spreadsheet file. Variations in the output quantities are displayed graphically using MS Excel. Some simulation could have been done using computational fluid dynamics (CFD) software. The advantages and disadvantages (technical, financial and skills requirements) of the two approaches for this particular type of simulation are compared briefly. Keywords: Pneumatic conveying, Heat and mass transfer, Computer model

Jan 1, 2003

By N. Watson

Historically the insurance industry's involvement in any project has been relatively late in the process. Often it was a case of the last item to be ticked off the checklist has been to ensure that the insurance is in place. However, in more recent times insurers have imposed more restrictions on the cover they are prepared to provide, which has in some cases necessitated a change in the contracting structure to accommodate the insurance policy(ies). In addition, changing contractual practices have changed the allocation of risk between the various parties involved. This calls for a more proactive approach to the design and implementation of an insurance program for both the construction and operational phases of any resource project. This paper explores how a risk managed approach to the design and implementation of an insurance program for a resource project can align itself with current management approaches to project development. From the authors' experience, this approach is best adopted early on in the project (often in conjunction with the bankable feasibility study) and follows AZ/NZS4360 to objectively examine and compare a wide range of risk exposures of the project in a time-effective manner across the following areas: ? personnel; ? environment; ? general management; ? compliance - legislation, systems, protocols; ? asset management; ? change management; ? financial impacts to the organisation; ? products/services; ? service delivery; and ? technology. Having identified and then analysed the risk exposures according to common consequence and likelihood ratings the next step is to develop a risk map of all considered exposures. The true value of this approach lies in the development and implementation of a risk treatment plan for identified exposures where the exposure is unacceptable. The plans will lead to the optimal solution to the appropriate risk prevention, risk mitigation and risk transfer options available. This paper also examines other benefits to the project that may arise from adopting a risk managed approach in addition to the ability to design an insurance program which recognises the exposures and the ability of the organisation (and other project parties) to retain risk.

Jan 1, 2007

For resources projects with healthy net present value (NPV) and low cash flow volatility, conventional discounted cash flow (DCF) analysis will continue to provide the dominant investment decision-making criteria. However, DCF analysis can be biased because it often applies a single risk-adjusted discount rate (RADR) to compare the value of projects with different risk characteristics. Many of the difficulties with DCF modelling arise from analysts' inability to determine appropriate risk discounts and to estimate expected spot prices inputs for the commodities produced over the life of the project. Modern asset pricing (MAP) is a very valuable complement to DCF analysis in addressing some of these issues. Most papers dealing with MAP, however, while academically rigorous, tend not to be explicit in terms of practical application of this methodology in routine project evaluation. This paper has the objective of reviewing the MAP methodology and of demystifying its complexity, by providing a simple but realistic step-by-step evaluation of a mining project, comparing its DCF and MAP NPV values. The paper concludes that MAP provides a minimum, risk-adjusted `floor' value, thus representing a valuable complement to any DCF valuation.

Jan 1, 2007

By R. Rubin, P. A. Laxen, G. S. M. Becker

An account is given of developments in the use of activated carbon for the recovery of gold from cyanide solutions. The carbon-In-pulp process employed at the Homestake Mine is described, and its various applications in South Africa and their effectiveness are discussed. Probable future work on the carbon-in-pulp process and other possible applications of carbon for the recovery of gold are outlined.

Jan 1, 1979