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By Daniel T. Brian, O&apos

Exploration targets and results in the mining industry are commonly summarized in terms of tonnage and grade. Business appraisals require, as additional information, the expected profit or loss implied by the physical summay. The early incorporation of knowledge gained through financial analysis computations can provide a means for economically resolving many common exploration and development problems. Examples of such applications from the activities of exploration planning, reconnaissance, land acquisition, and development planning are presented. While prospecting for mineral deposits, geologists are frequently asked what they hope to find or have found. The response is usually descriptive, such as "50 million tons of 1% copper," and the economic implications are deferred until a capital investment decision is required. At that time, a financial analysis integrating the four analysis components is completed. These components are: 1) Tonnage and Average grade above cutoff grade 2) Capital and operating costs 3) Product value 4) Appropriate profit or loss accounting Close examination of these components reveals that there is no intrinsic reason for avoiding financial analyses at earlier stages in exploration, as long as the uncertainty of the estimate is realized. Tonnage and average grades are commonly estimated at early stages in exploration. For this component, the appropriate cutoff is the major uncertainty. Capital and operating costs are difficult to estimate before detailed quantitative information is available, but estimates useful for the types of applications pertinent to earlier exploration stages are possible. Product value estimates may or may not be difficult, depending on the pricing structure of the particular commodity. A simplified accounting procedure usually may be adopted without introducing any significant loss of validity. This paper describe some of the financial analysis applications which are pertinent during mineral exploration and deposit development. These applications lend additional insight during exploration planning, land acquisition, physical exploration, and development. The examples are oriented toward a hypothetical management investment policy which is based on a single criterion, a minimum 15% discounted cash flow rate of return. In reality, managements use multiple criteria. This simplification is convenient for purposes of presentation and does not invalidate the examples. Computers are useful, but not a requirement, for the applications described. The use of computers provides the results on a more timely basis at costs lower than equivalent manual computations. UNDERLYING PRINCIPLES AND ANALYSIS METHODS Data estimates are subject to uncertainty. The analyst may choose to assess this uncertainty by using one of two principles. Each principle has some advantages. The principle most commonly employed is "assumed certainty." Each financial analysis is based on one set of selected data, which may represent the average estimates, minimum expected conditions, etc. The critical data is identified by making successive calculations, varying the values used. Such studies, called sensitivity analyses, isolate the economic effect of various uncertainties, and guide the allocation of future efforts toward improving the overall accuracy of the analysis. A second principle, "assumed risk," examines the interactive effect of the current uncertainties by qualitatively assigning probability distributions to each data element. These probability distributions indicate the currently appraised chance that a given numerical value will prove to be true. The corresponding procedure, risk analysis, consists of processing many individual financial analyses, each analysis being based on randomly selected numerical values from the probabilistic distributions. The result is a numerical presentation of the uncertainty, but care must be exercised in the interpretation of results. The advantage of this procedure is the direct measurement of economic uncertainty caused by the interaction of uncertain estimates. Kennecott Copper Corp. has developed computer systems for accomplishing sensitivity and risk analyses.

Jan 1, 1970

To maximise recovery by highwall mining, pillars must be designed which are long, slender and of relatively low width-to-height ratios. The strength of pillars with width/height less than 2 depends primarily on the mechanical response of the coal, due to the reduced influence of frictional restraint between roof and floor. A suitable pillar design approach therefore requires a method of estimating coal-seam properties. Experimental studies were carried out to determine ways of reliably predicting the large-scale mechanical properties of coal seams from small-scale test data. The studies led to a method of practical, systematic assessment of coal-seam properties based on measurement of coal rank and seam brightness profiles. The criterion employs the parameters sigma(c), m and s of the generalised Hoek-Brown empirical strength criterion for rock masses. A novel design approach combines the flexibility of modern numerical modelling programs with simple hand calculation for rapid assessment

Jun 21, 1905

By Phil Pennington, D. Jack Adams

Mining and processing of minerals, metals, and fossil fuels can release selenium and arsenic into wastewaters. Both selenium and arsenic are difficult to remove to levels that meet current drinking water and discharge criteria. These metalloids can be used as electron acceptors by microorganisms transforming them back to reduced states, thus removing or stabilizing them. Bioremediation cost effectiveness will be discussed in terms of site information required, microbial populations, co-contaminants, pH, redox, and nutrients. Full-scale, economical ex situ and in situ biotreatments are possible and can produce 1,000’s of times less sludge than conventional precipitation technologies.

Jan 1, 2005

By Matthew E. Fowler

The Central Subway will extend the recently completed 8.2-km long Third Street Light Rail line another 2.7 km north through the Union Square shopping district to Chinatown with a concourse-to-concourse connection to the Powell Street BART Station. One mined and two cut-and-cover subway stations are planned. Particular challenges include: tunneling under existing tunnels; variable ground conditions ranging from saturated alluvium to fractured bedrock; a congested urban setting and large-span caverns. This paper gives an overview of the project as it stands midway through the preliminary engineering stage along with a discussion of the rationale and design approaches that are being used to address the construction challenges of restoring light rail service in the most densely developed areas of San Francisco.

Jan 1, 2008

By William R. Yernberg

What a difference a year makes. One year ago, the iron mining industry and the steelmaking industry in the United States were in trouble. Many companies were in bankruptcy, and talk of plant and mine shutdowns was rampant. At that time, it seemed difficult, if not impossible, to remain competitive with imported steel. In addition, the World Trade Organization declared as illegal the tariffs placed on imported steel. And many questioned the viability of the ironmining and steel industry in the United States. At that time, global economic conditions were the main contributors to the industry’s problems. However, since last year’s meeting, changes in global economics have actually helped the steel industry in the United States. Heavy global demand for steel has caused raw-material shortages worldwide. Much of the increased demand is a result of the economic boom in China. In addition, because of a weak U.S. dollar and higher international freight rates, steel imports into the United States have been reduced to about 50 percent of recent levels. These factors have contributed to a rebirth of the U.S. iron mining and steel industries.

Jan 1, 2004

By Edward A. Barrett

The ability to recognize visual cues commonly associated with roof and rib hazards is fundamental to the prevention of groundfall accidents. The perceptual skills that miners possess to visually search and assess hazardous ground conditions differ considerably. This U.S. Bureau of Mines report summarizes recent investigations on the use of stereoscopic (3-D) slides as a training aid for improving the ability of miners to recognize the various geologic and mining-induced irregularities that cause ground-falls. The feasibility of using 3-D slides for training and their effectiveness for representing roof and rib hazard conditions are discussed. Information is presented on equipment and procedures for creating a 3-D slide program that can be updated by mine trainers. Recommendations are made on selection of 3-D equipment and on the use of 3-D slides for training miners to recognize roof and rib hazards.

Jan 1, 1988

By J. P. D. Strydom

The transmission of excessive vibration to the human body can cause physical stress that may result in crippling pain or permanent disability. Rock drills are known to transmit high levels of vibration that are difficult to attenuate through conventional approaches to vibration isolation. However, it can be shown that once the ISO frequency weighting has been applied, most of the vibratory effect of the rock drill?s motion is concentrated at the drill?s operating frequency. This observation opens the way for utilizing a concept known as vibration absorption, aimed at attenuating the rock drill?s vibration. In essence this entails using the inertia of a secondary vibratory system to counteract the motion of the handle. This article documents an investigation into the use of such an absorber for attenuating rock drill vibration and demonstrates the feasibility of such an approach. A mathematical model of such an absorbing handle was developed and used for design studies. Based on these investigations an experimental prototype model was manufactured and tested. A significant reduction in vibration levels could be achieved.

Jan 1, 2002

By Samuel Canchaya Moya

Si bien en las últimas décadas se aplicó el estudio de la geoestadística en la minería, el uso de la técnica no ha logrado una mayor difusión. En ese sentido, el presente texto señala la aplicación de los paquetes de software en la minería a través de los módulos de geoestadística. En este punto, la optimización del muestreo, se convierte en un problema tanto en la etapa de exploración como de producción. Por ello, es necesario conocer y comprender los conceptos y métodos geoestadísticos que se apliquen a la medida de muestreo de la veta, ver distancia y ubicación de taladros, costos de campaña de exploración, entre otras medidas, etc.

Jul 31, 2003

A simulation and animation model was constructed for the Stockton Coal Mine. This mine is located in the north western area of the South Island of New Zealand. This model was used to study the optimum size of the stockpile areas whilst achieving the correct product coal qualities. The model evaluated the impact on stockpile size and product coal qualities for both bulk and selective mining. The effect of modifying the amount of known clean coal quality was also investigated. The software used was GPSS/H« for the simulation and Proof Professional« for the animation. From the study, it was recommended to incorporate selective mining in future studies. The shipping plan needed to be modified for a better correlation between coal production levels, in situ coal resources and wash plant capacity.

Dec 6, 2010

The efficiency of a coal mine ventilation circuit is usually measured by the ratio of the sum of the face quantities divided by the quantity supplied by the fans. Other types of systems use the power delivered to the power supplied to measure efficiency. This paper argues the case that the current measure may be inadequate and that by also looking at the power ratio, ventilation may be better managed. Problems associated with failing ventilation systems would be highlighted earlier so that crisis management could be avoided.

Jan 1, 2009

By H. M. Lawrence

"The land-pebble district, the larger of the two producing areas of Florida, is situated in Polk County and in the eastern part of Hillsborough County. About 80 per cent at the phosphate rock produced in the United States in recent years has been mined from this area. The phosphate ores, locally termed matrix. are beds of sands and clays containing the phosphate pebbles, considered to be Pliocene in age, derived by marine action from underlying Miocene phosphatic marls, and are covered by practically barren sands and clays that have been deposited more recently. Open-pit mining is practiced; hydraulic mining, which has been intensively developed in this district, is used exclusively for mining the matrix and, by some companies for removing the overburden, although drag-line excavators have become established and are proving economical for stripping operations. From the pits the matrix is pumped to adjacent washing plants for beneficiation. The product of the washers. after drying, enters the world markets as Florida pebble phosphate.In this district recovery of the phosphate pebbles by the washing plants has not been particularly effective in the past. The screening, designed to effect a seperation at about 20 mesh (0.033 inches), has not been well controlled. Washer rejects discarded to the waste dumps have contained appreciable amounts of material analyzing above the minimum commercial grade - 66 per cent B.P.L. (bone phosphate of lime). Such losses of commercial fractions should be considered avoidable, and have been discussed at length in a previous paper.3"

Jul 1, 1930

The functional design of a pavement relates to the selection of appropriate wearing course materials which optimise the trafficability of a pavement. Trafficability is dictated to a large degree by the choice, application and maintenance of locally available wearing course materials. Poor functional performance results in decreased safety and operational efficiency and increasing road and vehicle maintenance requirements. An optimal functional design will include a certain amount and frequency of maintenance (watering, grading etc.) and thus maintenance itself can be planned, scheduled and optimized within the limits of required road performance and minimum vehicle operating and road maintenance costs. Since no wearing course material selection guidelines, tailored to the specific needs of surface mines, were available, there was the need to identify appropriate selection guidelines for the range of materials commonly encountered for road building on South African mines. The aim of this paper is to present an overview of the functional design method for mine haul roads and, through an analysis and quantification of existing wearing course material performance, to recommend appropriate wearing course material selection guidelines. The functional design technique has been applied at a number of mines and is illustrated by an application case study which demonstrates the potential reduction in total transportation operating costs associated with the optimal functional design.

Jan 1, 2000

By George K. Burke

Single axis soil mixing is a mechanical method of blending soil in situ with a reagent binder to achieve improved character. Generally this achieves a design compressive strength or shear strength and/or permeability, but can be used to immobilize and/or fixate contaminants as well as a treatment system for chemical reduction to a more "friendly" substrate. The reagent binder can be a variety of materials, including cement, fly ash, slag, lime, and an assortment of additives. Usually this reagent is delivered in a slurry form (combined with water), but the Dry Mix Method uses pneumatic conveyance.

Jan 1, 2001

By William Porter

Hand scaling is a physically demanding job and is responsible for numerous overexertion injuries in mining. This experiment studied rib scaling from an elevated bucket to examine force generation capabilities and electromyographic responses to a prying subtask. Subjects exerted force using two bars (steel and fiberglass) at five target heights. Work height significantly affected peak prying force during scaling activities with highest force capacity at the lowest level (p = 0.0188). Bar type did not affect force generation (p = 0.7843): However, use of the fiberglass bar required significantly more muscle activity to achieve the same force (p < 0.05). It was concluded that miners should scale points on the rock face that are below their knees, and reposition the bucket as often as necessary to do so. Additional research is needed to fully understand the impact of bar type on the physical demands of an entire scaling task.

Jan 1, 2006

By Dae S. Young

The paper point out a new procedure to calculate the volumetric distribution of rock fragments. The method combines the practicality of digital image processing of the rock surface with the theoretical volume calculations based on principles and laws of fractal geometry. The final volumetric distribution curve is compared with the results from traditional sieving indicating close agreement.

Jul 17, 2000

Council for 2003/2004 President T.R. Stacey President-elect F. M. G. Egerton Vice-presidents Senior W. H. van Niekerk Junior R.P.H. Willis Immediate Past-president S.J. Ramokgopa Honorary Treasurer J.A. Cruise

Jan 1, 2004

By V. Galla

Waste rock facilities (WRF) generally have a large footprint depending on the strip ratio the mine plan provides. Considerable planning is involved during the initial phase of the mine plan regarding the location of the WRF. As the mining operations are commenced the locations of the WRF change accordingly with the variations in the mine plan involving feedback and support from local communities and stakeholders. Waste rock facilities management becomes challenging when the area available for placement is limited due to terrain topography, environmental and permitting constraints. Risks associated in the design of waste rock facilities constitute particle size of rock, chemistry associated with the rock for reactivity and stability of the over all facility. This paper will provide some insights on designing, scheduling and managing a WRF. Emphasis on geotechnical, geophysics and geochemistry aspects of waste rock with reference to design, construction process and scheduling of WRF are also presented. Design improvements in the reclamation slope of WRF for erosion control will be discussed. Continuous improvement (CI) methodology will be introduced in the process of WRF operations. Current practices and future recommendations towards sustainability and consistency in operating WRF will be discussed in conclusion.

Jan 1, 2011

By M. Fustic, A. H. Paul

The geology of the Muskeg River Oil Sands Mine is described to demonstrate how geologic modeling aided in resource evaluation and material characterization during the feasibility and construction stages. Bitumen is hosted in the clastic sediments of the Cretaceous McMurray Formation which is informally divided into members representing the fluvial, estuarine and marine environments of this transgressive sequence. Lithofacies mapping of drill core provides further detail to classify materials as resource type, for extraction suitability and for construction suitability. Geologic interpretation provides tools for the engineers to produce effective mine plans and for the operators to execute them during mine development.

Jan 1, 2002

By V. I. Kefeli

Public-private partnership efforts are working to create green landscapes from abandoned industrial sites. Fabricated soils, potentially an essential element of such landscapes, are designed to substitute for topsoil on the areas free from ground cover and plant community. The aluminosilicate matrix and humus form the soil micelle - the primary unit of any soil complex. Humus formation is a process based on carbon-nitrogen interaction. Sources of carbon can be materials rich in easily composted products like cellulose and polyphenols (plant leaves) or aged lignin polymers (saw dust from different woody plants). The pathways of carbon-nitrogen complexes are discussed. Properties of the fabricated soil components were examined by bio-tests and plant models.

Jan 1, 2002

Active geothermal fields show many of the characteristics seen in hydrothermal ore deposits but there are important differences as well. There are, for example, many differences in geology and chemistry between individual geothermal fields, even some nearby, and these include variations in host rock types (volcanic, sedimentary, plutonic and metamorphic), structures controlling fluid flow (normal, lateral, and, rarely, reverse faulting occur) and hydrological setting (valleys to elevated terrain).

Jan 1, 1986