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By T. J. Batchler, K. M. Mohamed, D. F. Gearhart, R. K. Zipf

Seals are explosion-resistant structures built in underground coal mines to isolate abandoned mining areas from the active workings. An equivalent single degree of freedom (SDOF) method such as the single-degree-of-freedom blast effects design spreadsheet (SBEDS) developed by the U.S. Army Corps of Engineers can be used to design seals to resist mine explosions. The critical input for the SDOF code is the seal resistance function. The objective for this study is to develop engineering data for design of plain concrete (PC) and reinforced concrete (RC) seals using finite element (FE) models. The FE models can then be used to generate resistance functions for different PC and RC seal designs, which can be used in the SDOF codes. The U.S. National Institute for Occupational Safety and Health (NIOSH) researchers designed and built a test fixture for use in conjunction with NIOSH’s Mine Roof Simulator to apply a four-point bending load on the face of the tested seal. Eight large-scale experiments for each PC and RC seal were conducted. The experimental design considered the effects of the foundation strength, hitching and roof-to-floor convergence. Calibrated FE models for PC and RC seals were developed using ANSYS Ver. 13. With a very limited number of engineering-based assumptions and a single set of data—including Young’s modulus, compressive strength, stress-strain relationships, etc.—the PC and RC seal models successfully calculated the recorded resistance functions and failure patterns for a wide range of boundary conditions. Plug and RC seals were assumed for a 1.83-m- (6-ft-) high entry to demonstrate the application of the calibrated finite element models for calculating the resistance functions of these seals. The resistance function of a particular plug seal case was found to be a bilinear relationship. The resistance function of a particular RC seal without shear reinforcement was found to be a nonlinear relationship.

Jan 1, 2013

By J. C. Cawley, G. T. Homce

The U.S. National Institute for Occupational Safety and Health (NIOSH) Office of Mine Safety and Health Research (OMSHR) conducted a study of mining industry electrical injuries reported to the U.S. Mine Safety and Health Administration (MSHA) for the years 2000 to 2009. The findings of that study are detailed in this paper, and serve to characterize the circumstances surrounding electrical injuries and identify causal factors. The study included three tasks: 1) a direct review of mining industry occupational injury data compiled by MSHA, 2) interpretation of the narrative descriptions available for the injuries (from MSHA data) and 3) a separate examination of fatal electrical injuries. Eight-hundred sixty-five electrical injuries were reported during the 10-year period studied, with 39 of those being fatalities. This makes electrical injuries disproportionately fatal with respect to most other types of injuries in mining. Electrical injury rates were higher in coal mining than noncoal mining and, within the coal sector, rates were higher in underground operations than in surface operations. Of the 865 total cases, electrical and machine maintenance or repair activities were involved in 580 (69%), and electricians and mechanics were injured in 362 cases (42%). Of the 39 fatal electrical injuries, 27 (69%) involved electrical maintenance or repair work, and in 21 of these 27 cases, the failure to de-energize, lock-out and tag the circuit was the cause or a contributing factor. Also, contractor employees had a much greater chance of an electrical injury being fatal than did mine operator employees. The top three root causes for fatal electrical injuries were 1) no or inadequate lock-out and tagging, 2) failure of power system components and 3) contact of overhead electrical power lines by mobile equipment.

Jan 1, 2013

By T. J. Lutz, S. Gallagher, J. R. Srednicki, J. J. Sammarco

The Illuminating Engineering Society of North America reports that an underground mine is the most difficult environment to illuminate (Rea, 2000). Researchers at the U.S. National Institute for Occupational Safety and Health (NIOSH) Office of Mine Safety and Health Research (OMSHR) are conducting ongoing studies designed to explore different lighting technologies for improving mine safety. Underground miners use different visual cues to escape from a smoke-filled environment. Primary and secondary escapeways are marked with reflective ceiling tags of various colors. Miners also look for mine rail tracks. The main objective of this paper is to compare different lighting types and ceiling tag colors to differentiate what works best in a smoke-filled environment. Various cap lamps (LED and incandescent) and lasers (red, blue, green) were compared to see which options resulted in the longest detection distances for red, green and blue reflective markers and a section of mine rail track. All targets advanced toward the human subject inside of a smoke-filled room to simulate the subject walking in a mine environment. Detection distances were recorded and analyzed to find the best cap lamp, laser color and target color in a smoke environment. Results show that cap lamp, laser color and target color do make a difference in detection distances and are perceived differently based on subject age. Cap lamps were superior to lasers in all circumstances of ceiling tag detection, with the exception of the green laser. The incandescent cap lamp worked best in the simulated smoke compared to the LED cap lamps. The green laser was the best color for detecting the tags and track compared to the red and blue lasers. The green tags were the easiest color to detect on the ceiling. On average, the track was easier for the subjects to detect than the ceiling tags.

Jan 1, 2013

By Dean Brox

Tunnel boring machines (TBMs) have been used for the construction of various tunnels for mining projects for the purpose of access, conveyance of ore and waste, drainage, exploration, water supply and water diversion. Several mining projects have seen the successful and economic beneficial use of TBMs, and there is an increasing awareness of the benefits of TBMs for mining projects. Key technical considerations for the use of TBMs for the construction of tunnels for mining projects include geological issues (rock type, rock alteration, rock strength, rock abrasivity, durability, ground water inflows), depth of cover and the potential for overstressing/rockbursts, site access and terrain, portal locations, TBM constraints, minimum tunnel size, tunnel support requirements, contractor and labor experience, and project schedule demands. TBMs offer key project schedule benefits with high rates of progress, which is a unique economic advantage recognized for mining projects where timing is of the essence in order to advance mining development and achieve early startup for operations. A thorough evaluation of the anticipated ground conditions should be performed as part of the decision to adopt a TBM for a mining project. Minimum specifications for TBMs are necessary in order to prevent the incorrect type of TBM from being used. Appropriate geotechnical investigations are necessary in order to provide key information on the anticipated subsurface conditions for careful planning and design of the proposed tunnel alignment. The overall site and geological conditions associated with some projects may suggest that it is not appropriate to use TBMs for some mining projects due to a perceived higher risk.

Jan 1, 2013

By N. Wahl, D. M. Blackketter, R. Thornton

This paper evaluated using a water-filled abandoned mine (Orphan Boy) as a heat source for a 240- kW closed-loop heat pump with the goal of heating a 2,000-m2 building. The mine has a 245-m vertical shaft connected to a large stope by three horizontal cross-cut shafts. There is 1,250 x 106 L of water at a consistent temperature of 24-26° C that is available mostly in the stope. The only heat exchanger placement option is in the vertical shaft. Therefore, the focus was to model heat exchanger placement in the vertical shaft to determine the extent to which the systems will induce thermal currents between the stope and vertical shaft. Modeling of thermal currents, temperature profiles and heat contribution from the ground was done using finite difference and computational fluid dynamics. An optimal configuration was determined showing sufficient water movement and heat transfer will occur with a low water temperature in the shaft above 20° C. This project supports a U.S. Department of Energy (DOE) grant that will implement the full-scale system.

Jan 1, 2013

By B. Qiu, Y. Luo

Longwall and/or room-and-pillar mining operations in multiple coal seams may not only induce subsurface and surface subsidence but also cause interactions between these mined coal seams. The interaction might destabilize underground mine structures and subsequently induce additional strata movements. Mathematical models to use the predicted subsurface deformations to assess the interactions and the consequences have been developed. The models are incorporated into a computer program, CISPM-MS, for predicting the final surface movements and deformations, as well as the mining interactions associated with multiseam coal mining operations. It predicts final surface movements and deformations caused by the individual mining operations and by the interactive effects. The program can also be used to assess mine structural stability in multiseam mining operations. The paper presents the developed interaction models and their application in surface subsidence prediction caused by multiseam mining operations. A case study involving mining in two coal seams, using longwall and room-and-pillar mining methods, respectively, will be used to validate the program.

Jan 1, 2013

By D. Kumar, R. J. Sweigard, J. Silva

The Forestry Reclamation Approach (FRA) recommends that the upper 1.22 m (4 ft) of spoil material on reclaimed surfaces should be left as uncompacted as possible to facilitate efficient tree root growth. However, the main concerns about applying the FRA to steep slopes is that the upper 1.22 m (4 ft) of loose spoil material could cause instability. Successful application of the FRA on the flat and rolling surfaces precipitated this investigation. Details of a field investigation conducted at a steep-slope mine site are available in an earlier publication (Kumar and Sweigard, 2011). A total of 70 survey monuments were driven into the slope in a regular pattern to monitor any type of slope movement. Quarterly surveying of the monuments were done to quantify slope movement, either horizontally or vertically. The methodology developed in this research for field slope movement monitoring was validated using computer model results. Analytical models based on the limit equilibrium method (LEM) and numerical models based on the finite element method (FEM) were developed for slope stability analysis. The LEM analysis was done using the Geo-Slope/W program following the simplified Bishop method. However, numerical models were developed using the PLAXIS computer program following the Mohr’s Coulomb failure criterion and strength reduction technique. The slope stability analysis was performed for two different scenarios: first with the top 1.22 m (4 ft) of loose graded spoil material and second without top loose graded spoil material. Finally, the field investigation results were compared with stability analysis results. Both of these approaches showed that application of the FRA on steep slopes is not causing any significant instability problems, due to 1.22 m (4 ft) loose graded spoil that would not exist otherwise for overly steepened slopes.

Jan 1, 2013

By Emily Wortman-Wunder

As the 2013 president of the Society for Mining, Metallurgy and Exploration, Inc., I am pleased to present the 2013 issue of the Transactions of the Society for Mining, Metallurgy and Exploration, Vol. 334. The timely publication of professional papers that promote the advancement of scientific and technical knowledge is critical for enabling technology transfer. SME plays a key role in this process through its publications. Communication within the mining community is the key to a successful profession and society. This technology exchange continues a tradition that dates back to the 1871 meeting of 22 mining engineers in Wilkes-Barre, PA, that resulted in the founding of AIME; those individuals envisioned that these transaction volumes “would form a most valuable and greatly needed addition to our professional literature.” This volume fulfills that pledge. The 2013 Transactions contains 73 papers covering most every aspect of the mining life cycle and encompassing the diverse sectors of our industry including coal, industrial minerals, metals, health and safety and computational methods. It includes all 18 papers published in 2013 in the Technical Papers Section of Mining Engineering magazine (Vol. 65) and all 33 papers published in 2013 in Minerals & Metallurgical Processing (Vol. 30). Additionally, this volume contains 22 papers that are being published for the first time in this issue. The papers presented in this volume were written by some of the most distinguished professionals in the industry worldwide. Some of the many research highlights from 2013 include discussions of perennial issues, such as how to adequately prepare the next generation of mining engineering students for the workforce (Frimpong et al., pp. 44-52) and how to predict and prevent coal mine bursts and bumps (Pariseau, pp. 60-68), the highly anticipated February Rare Earths issue of Minerals & Metallurgical Processing, and papers analyzing electrical injuries in the U.S. Mining industry (Homce and Cawley, p. 367-375) the latest in assessing the safety and efficiency of operations. All 73 technical papers were peer-reviewed. The process of review and publication requires much hard work by authors, reviewers and our publications staff. As the 2013 president of SME and on behalf of all our members, I would like to extend our gratitude to all whose volunteer efforts contributed to the publication of this volume.

Jan 1, 2013

By O. Babak, O. Leuangthong, M. A. Cuba

Integration of data from multiple sources and/or multiple scales is a common, yet challenging aspect of geostatistical resource modeling. Common approaches to data integration are based on a cokriging framework that assumes a consistency of scale in the information that leads to a requirement to composite the data prior to model construction. It is well known that the geostatistical model parameters are scale dependent. In particular, the volume variance of integrating these various scales has a direct impact on the semivariogram that should be used in model construction and/or the assessment of volume-variance relations as it affects resource estimation. This paper reviews and compares two different approaches for semivariogram upscaling. The first approach is the scaling laws. It is an empirically derived approach, involving several simplifying assumptions, one of which is a strict assumption of invariance of the semivariogram shape. The second approach is a theoretically derived direct upscaling of the semivariogram. This approach has been around for a number of years, but is seldom implemented due to software limitations. In this paper, we present a numerical integration approach to facilitate direct semivariogram upscaling. The advantage of direct upscaling over the scaling laws approach is shown by considering a synthetic example and a case study. Further, in the case of multiple codependent random variables, the extension of the direct semivariogram upscaling to the cross semivariograms is derived and an upscaled consistent linear model of coregionalization is presented.

Jan 1, 2013

By T. W. Beck, J. A. Organiscak

The U.S. National Institute for Occupational Safety and Health (NIOSH) Office of Mine Safety and Health Research (OMSHR) has recently studied several redirected scrubber discharge configurations in its full-scale continuous miner gallery for both dust and gas control when using an exhaust face ventilation system. Dust and gas measurements around the continuous mining machine in the laboratory showed that the conventional scrubber discharge directed outby the face with a 12.2-m (40-ft) exhaust curtain setback appeared to be one of the better configurations for controlling dust and gas. Redirecting all the air toward the face equally up both sides of the machine increased the dust and gas concentrations around the machine. When all of the air was redirected toward the face on the off-curtain side of the machine, gas accumulations tended to be reduced at the face, at the expense of increased dust levels in the return and on the curtain side of the mining machine. A 6.1-m (20-ft) exhaust curtain setback without the scrubber operating resulted in the lowest dust levels around the continuous mining machine, but this configuration resulted in some of the highest levels of dust in the return and gas on the off-curtain side of the mining face. Two field studies showed some similarities to the laboratory findings, with elevated dust levels at the rear corners of the continuous miner when all of the scrubber exhaust was redirected toward the face either up the off-tubing side or equally up both sides of the mining machine.

Jan 1, 2013

By G. Bylapudi, A. Spearing, J. Weber, K. Mondal

U.S. National Institute for Occupational Safety and Health (NIOSH) reports state that about 100 million rock anchors are installed annually in U.S. coal mines (Tadolini et al., 2006), and rock-related safety remains an issue. The majority of these coal mines have conditions that make corrosion probable in the longer term. Despite this, very little research has been performed to analyze corrosion and its effects on rock anchors in coal mines. To further evaluate the effects of corrosive conditions in coal mines on rock anchors, three different experiments were conducted during an initial Illinois Clean Coal Institute (ICCI)-funded project from 2008-2009. The results of these experiments were further studied, with additional tests, in the extended ICCI-funded project during 2011-2012. The experiments were destructive testing, electrochemical testing (potentiodynamic polarization tests) and open circuit potential (OCP) testing, conducted in order to study corrosion in environments similar to those found in Illinois coal mines with a focus on major rock anchor types typically installed underground. Destructive test results showed highest reduction in peak strength at higher pH and temperature. From the destructive test results, epoxy-coated and galvanized anchors were observed to be better when compared to uncoated. Electrochemical testing was performed to find the corrosion potential and corrosion rates of ASTM A615 steel grades 40, 60 and 75 in four different solutions of varying sulfur content at ambient temperature. The effect of temperature and pH levels on corrosion potential and corrosion rates of steel grades were also evaluated with additional electrochemical testing, where an increase in temperature with all other constant conditions caused a significant increase in the corrosion penetration rate. OCP data indicated higher corrosion potential values (-mV) for rock anchors in wet areas, when compared to those from the dry areas. OCP test results of the rock anchors from the laboratory corrosion chambers were similar to those measured in the sampled coal mines.

Jan 1, 2013

By Víctor Torres

Los operadores de las chancadoras y productoras de piezas fundidas de las fundiciones buscan el desarrollo de nuevos materiales y diseños para los mantos y revestimientos de cóncavo y así mejorar el desempeño de las chancadoras. En ese sentido, el presente texto describe la innovación en el diseño de dichos mantos -en tanto el desgaste de la parte superior de este es menor debido a las condiciones de impacto. Por ello, el diseño del manto se realiza en tres niveles: superior, media e inferior, de forma que la parte superior dura más que la parte media y la parte inferior es menos duradera, dada las condiciones de abrasión. Asímismo, le otorga al operador mayor libertad para reemplazar las piezas por separado de acuerdo con el desgaste que representen.

Dec 1, 2012

By Álvaro Ordóñez Núñez

El presente texto describe la forma de realizar la extracción y recuperación de cobre y zinc a través del empleo del hipoclorito como agente oxidante y del amoniaco como agente acomplejante de los cationes metálicos. Entre las ventajas de su utilización respecto a la lixiviación tenemos: que las soluciones obtenidas son más limpias y los interferentes como el hierro, manganeso y aluminio se precipitan como óxidos hidratados en este medio, facilitando los procesos posteriores de recuperación de metales. Asímismo, se evita la etapa de extracción por solventes, obteniéndose de ese modo un precipitado metálico o de electrodeposición directa desde las soluciones de lixiviación final. En ese sentido, la extracción y recuperación a partir de minerales complejos con altos contenidos de carbonatos mezclados íntimamente con sulfuros secundarios en condiciones normales es la alternativa técnica económica viable.

Dec 1, 2012

By H Jones

Closure cost estimates may be generated at any stage of a mining operationÆs life; commencing with the initial prefeasibility studies and continuing through to the final decommissioning cost estimates. However, not all mine closure cost estimates are necessarily the same. Cost estimates will vary depending on the purpose for which they are prepared, the organisations requiring or undertaking the estimate and the stage of the mining operation. Different organisations can legitimately arrive at disparate cost estimates for closing the same mine because the organisations have different reasons for requiring the estimates. Another, equally valid, reason for potentially wide variations in cost estimates by different organisations on the same mine site is the different definitions of æclosure costsÆ used by different estimators. This paper considers the different approaches by different organisations including operating companies, government authorities and financial organisations and uses a hypothetical example based on practical experience to illustrate some of these differences in estimation methods.The paper suggest that a more consistent approach to closure cost estimating in the Australian mining industry would assist mining companies, governments, the accounting industry and the broader community to better understand this complex component of mine planning. One possible approach to closure cost estimating is briefly outlined.CITATION:Jones, H, 2012. Closure cost estimation - All things to all men?, in Proceedings International Mine Management 2012, pp 115-124 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 20, 2012

By S C. Barrie

St BarbaraÆs Marvel Loch operations have successfully used longhole open stoping as the primary mining method for a number of years. A transition to Core and Shell mining was implemented in 2009 to recover substantial ore grade resources remaining in sill and rib pillars. The transition to core and shell for the Exhibition lode required continuous waste filling of created voids and thus the removal of the crown pillar at the base of the Exhibition pit by blasting. Access to the top of pillar was denied as the pit was partially rock filled with waste rock from underground development.Beyond the technical challenges of the blasting project, a simple and transparent risk management process was developed to ensure appropriate controls and mitigating strategies were in place to minimise risk to personnel during the pillar removal process.Although failure of the crown pillar was anticipated but with the actual timing unknown, on 25 December 2011 the crown pillar yielded during normal mine operations. Engineered and isolation controls in place at the time were of a sufficiently high standard to ensure limited exposure of the underground workforce and minimal damage to mine infrastructure. Successful risk management through implementation of appropriate controls during the project lifecycle of two years and three months proved to be fundamental to the safe removal of the crown pillar.CITATION:Barrie, S C, 2012. Successful risk management through project life cycle for removal of the crown pillar at the Marvel Loch Underground Mine, in Proceedings International Mine Management 2012, pp 125-134 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 20, 2012

By I Thomson, L D. Black, R G. Boutilier

The social license to operate (SLO) began as a metaphor for the ability of communities to stop mining projects. Soon people began to speak of levels of social license and the ability of communities to raise costs without completely stopping exploration or mining activities. Today the concept has spread to other industries and is evolving towards becoming a general management perspective on the socio-political rights and responsibilities of the corporation. The business case underpinning the SLO perspective on management is the need to assess and manage socio-political risk. For mining companies, socio-political risk has been steadily rising for several reasons, including the efforts of non-government organisations (NGOs) to pre-empt government policy options; the entry of mining companies into jurisdictions weak in the rule of law; and the weakness of global economic and financial regulation. In this perilous world beyond the comfort zone of effective government, mining companies must build their own socio-political stability by engaging directly with stakeholders to develop a strong SLO. In order to become a practical management perspective, the SLO needs to be measurable, which amounts to measuring the socio-political risks and opportunities presented by stakeholders. We present the results of efforts since 2009 to develop a globally reliable and valid measurement tool at the project and industry levels, validated in studies in Australia, Bolivia, Mexico and the USA. A factor analysis suggested four factors that mine management can address to raise their SLO level. The most chronically neglected factor involves the political right of the corporation to foster more equitable social contracts locally and regionally in both developed and developing countries. We conclude with recommended steps to earn and maintain the social license at the project and industry levels.CITATION:Boutilier, R G, Black, L D and Thomson, I, 2012. From metaphor to management tool - How the social license to operate can stabilise the socio-political environment for business, in Proceedings International Mine Management 2012, pp 227-238 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 20, 2012

By J Westh, S Rashleigh, L Gallagher

Mining companies are moving towards automated haul trucks and other equipment. One reason for this is that if automated trucks can operate in a standard pattern over and over again without variation, then human error is reduced, if not eliminated.The challenge for mining production leaders/managers is to ensure operators follow standard operating procedures for load and dump operations, with each operator doing the same thing, every time. However, operators are only human and inconsistent performance is rife at every mine site. The finger may be pointed at the operators for not doing as instructed. The clarity and variability of trainer instructions may be considered causal to the problem. Herein lies the problem. Almost all operators believe they are following the procedure very closely; moreover, they all demonstrate a strong desire to conform to instruction.Using video analysis and feedback, each operator can be shown where and by how much they differ from the benchmark set by their company. Operators, often for the first time, can see definitively what they are doing, compared to industry best practice.The technology utilised by real-time video (RTV) crews measures time, distance and angles. It can overlay the video of the operator at the load site, with video of the perfect pass. Operators are amazed when they see how near to, or how far they are from best practice.The footage and data gathered by RTV assists operators in understanding exactly what adjustments are required to increase proficiency. It also assists load and dump superintendents to identify where in the process they are losing time. When translated to overburden removal or mineral/resource extraction, the result is large production economies without the need for large capital investment in new automated technology.CITATION:Westh, J, Gallagher, L and Rashleigh, S, 2012. Improving safety and mine productivity using real-time video technology, in Proceedings International Mine Management 2012, pp 173-188 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 20, 2012

By A N. Danoucaras, S E. Goater, D Hearne, A M. Bansuan

It is globally recognised that existing and emerging mining activities should be conducted in a æsustainableÆ manner for the entire life of mine. Many companies annually publish corporate sustainability reports to demonstrate their actions in accordance with international expectations. This concept of sustainable mining practices also applies to mine water management, with influences often extending beyond site operations, affecting surrounding catchments and community users. This paper explores differences in conceptual and operational terms of æsustainableÆ mine water management within the Philippines. Outcomes of a review of corporate sustainability reports, governance documentation, research programs, and stakeholder knowledge acquired through action-research workshops are presented. The paper aims to inform and support future capacity building exercises delivered by the International Mining for Development Centre (IM4DC), with outcomes tailored to government officials and policy makers of developing countries. The project is funded by IM4DC, which is working with AusAID to identify needs and develop capacity with regard to mining for development; specifically, issues pertaining to governance and regulation, social and environmental sustainability, and operational effectiveness in developing countries.CITATION:Bansuan, A M, Goater, S E, Danoucaras, A N and Hearne, D, 2012. Integrated sustainable water management in mining for development in the Philippines, in Proceedings International Mine Management 2012, pp 205-226 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 20, 2012

By T Trott, G Lumley

"The mining industry suffers from a shortage of professional and other workers. Research and analysis has demonstrated a close correlation between high performance in productivity, maintenance and safety. There is also a significant correlation between engagement and performance. It is the hypothesis of the authors that mines can use a strategy of establishing themselves as a high-performance mine to attract and retain high caliber professional people: step 1 is to become best practice in equipment performance (productivity, maintenance and safety) step 2 is to brand the mine as æbest practiceÆ by sharing what has been confidential performance and outcome information with the general industry.Previous research has shown that many professional people are attracted by the prospect of a high achieving site because of the learnings and the support for continually doing better. In addition, a link has been established in previous research between productivity and safety. Operators and drivers are attracted to sites which have fewer dangerous people operating or driving. Good management delivers exceptional performance and a work site which high caliber managers and operational personnel people want to work at. The strategy requires commitment and proper execution but it can work. The strategy needs a specific approach and this paper will discuss this. A case study is provided from a mine which over a nine month period increased dragline performance by 15 per cent and reduced stress on the boom by 30 per cent. This mine paid the employees (professional and operational) $25 000/a less than the major mines but the operators and professional people would not leave; in fact, people were happy to be paid less to work there.CITATION:Lumley, G and Trott, T, 2012. Using best practice operations as a strategy for attracting and retaining professional people, in Proceedings International Mine Management 2012, pp 35-52 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Nov 20, 2012

By T J. V Duffy, L H. D Siahaan, P G. Albert

G-ResourcesÆ Martabe Mine in North Sumatra, Indonesia, is a US$700 M world-class and world-scale operation in a country which, with a few notable smaller scale exceptions, has had no significant hard rock mining development in more than ten years.The mine was commissioned in the middle part of 2012 and poured first gold on 24 July. At full production Martabe will produce 250 000 oz/a of gold and 2 - 3 Moz/a of silver at cash costs in the lowest quartile. The mine location is on the west coast of North Sumatra, which experiences annual rainfall of 4 m with no notable dry season, adjacent to seismically active fault zones, and relatively close to a rural community of 31 000 people with no significant industrial experience.The management team has successfully forged strong links with the various government departments and levels in Jakarta, North Sumatra Province and the local Regencies; developed long-term relationships with the various community groups within the local district of Batangtoru to build a sustainable social licence; has dealt with the physical and environmental challenges presented by the project location, and has successfully raised more than US$900 M over a period of three years for the original acquisition then the development of the project.Whilst in its infancy of operation, the mine is set up to deliver a long-term sustainable future for the company, the shareholders, and the people of Batangtoru and all stakeholders generally. The quality of the project execution and commitment by the company will ensure that maximum value can be delivered from Martabe, not just for the current mine life but from the significant exploration potential that exists on the large tenement area that the company has access to for 30 plus years.This paper will deal with the physical challenges associated with the design, the Indonesian government regulatory requirements for mine development, the social aspects of building a world-class project in a developing area, the in-country commitment necessary for any project development anywhere in the world and the successful funding arrangements for the mine development.CITATION:Albert, P G, Siahaan, L H D and Duffy, T J V, 2012. Building AsiaÆs latest hard rock mine, in Proceedings International Mine Management 2012, pp 189-204 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 20, 2012