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Financial theory often takes some time to penetrate industry and when it does it can result in a paradigm shift in valuations and mental models. The Black Scholes option valuation was first published in 1973, although the authors were only awarded a Nobel Prize in 1997. The valuation of real options has been applied to the oil and gas industry for some time, however it has only recently been more widely applied to the non-oil, mineral resource sector. The use of real option valuation (ROV) for the valuation of marginal and short mine life resource projects is a more useful valuation tool than the conventional DCF, NPV valuation tool. The application of ROV has major implications for corporate strategy. It generally favours equity over debt funding and non-hedging over hedging. A retrospective assessment of the successful development of the Lennard Shelf Operations demonstrates the concepts of implementing real options and the value destruction of limiting operational flexibility through debt and hedging activities.

Jan 1, 2003

The past year has been a difficult one for the mining industry in this country, but an active and successful one for the Branch. Membership has continued to increase, albeit at a slower rate than last year, and with the increase almost all from student membership. I dwelt at some length last year on the continued increase in student membership, which I ascribed largely to deliberate policies adopted by the Branch to foster this area of membership. I don't propose to reiterate these, suffice it to say that as usual, the Otago School of Mines has been a prolific source of student members, and it will be a pity if this source dries up û more on this subject later. In fact, students form just on 29 per cent of the Branch's total membership û a far higher percentage than for any other Branch in the Institute, whose membership as a whole comprises only ten per cent students.

Jan 1, 1985

Synthetic and commercial activated carbons are characterised for several chemical and physical properties. A range of techniques is used to establish correlations between physicochemical parameters and gold- adsorption activities. The most important parameter in the carbon activation process for a product with a high gold-adsorption activity is the activation temperature. High activation temperatures yield products with large micropore volumes which provides sites that are ideal in size for adsorption. The surface area of an activated carbon is not necessarily a good measure of its adsorption activity. Surface oxygen-containing functional groups are identified by Fourier transform infrared spectrophotometry to be comprised mainly of ethers and hydroxyls. These functional groups line the edges of the micropores imparting a polar character to the pore and aid in the solvation of the adsorbate. Oxidants such as nitric acid result in a proliferation of surface carboxyl groups. resulting in a negatively- charged surface that is not conducive to the adsorption of gold.

Jan 1, 1993

Geological models for the exploration and evaluation of epithermal Au and porphyry Cu-Au deposits rely upon a classification of different deposit styles and an understanding of the evolutionary processes of deposit formation. These models guide the interpretation of subsurface deposit anatomy in order to target drill testing and assist the explorationist to focus on the more prospective projects. It is important for the explorationist to distinguish between different styles of magmatic arc Au deposits as each style displays distinctive characteristics with exploration implications. Magmatic arc Au deposits are distinguished as porphyry Cu-Au formed at depths of 1 - 2 km at the apophysis to larger, buried, magmatic sources which are also the ultimate metal sources for the varying styles of shallower level epithermal Au deposits. Low sulfidation epithermal Au deposits characteristically develop from dilute circulating meteoric waters and are distinguished as the group with a closer relationship to intrusive source rocks, and slightly higher sulfide contents (still generally

Jan 1, 2004

By Mansor A. N

Results are reported for the computer simulation of heap leaching of mixed copper oxide and sulphide ores. They resemble those obtained from testwork in terms of a substantial peak in the copper concentration of the pregnant solution, an initial period when no copper emerges and a lengthy period towards the end when the copper concentration and the daily increment in copper recovery are low. The simulation can be used to forecast process results before any column or similar testwork is performed. Potential applications of the simulation to process design, operating strategy and optimisation are discussed. Three modes of operation are identified that correspond to different performance patterns and dependencies on ore and process variables. The relative merits of different operating strategies for approaching the ideal performance are being investigated. For process design and development purposes, the simulation may be used with a limited testwork programme to achieve significant savings in time and resources.

Jan 1, 1989

By Hall S. F, Quast K. B Newell R, Ketteridge I. B

For the past six years research funded by the State Energy Research Advisory Commit- tee of South Australia has been conducted at the South Australian Institute of Technology, School of Mining and Metallurgy on South Australian lignites. A major part of this work has been a study of the potential bene- fication of Bowmans lignite using hydrometal- lurgical techniques. The Bowmans lignite de- posit is the largest of its type in South Australia and is a major energy reserve for the state. The utilization potential of this deposit is reduced by its very high insitu NaCl content which presents serious problems for any process. Previous research conducted by Readett and co-workers (1984a & b) has shown that NaCl is amenable to extraction using simple batch water leaching operations. This leaching has been successfully described using a two stage diffusion model derived from first principles based on a simple diaphragm cell.

Jan 1, 1987

By Pollard D, Meadows N

The presence of impurities which are electropositive to zinc in acid zinc electrolyte causes changes to deposit morphology and reduced current efficiency. Glue may be added to control some impurity effects, but assaying for animal glue concentration is difficult and seldom done. Measurement of the activation overpotential for zinc deposition by cyclic voltammetry is used in some plants to monitor electrolyte quality and control glue additions.The deposit morphology and current efficiency of zinc deposition from commercial electrolyte were investigated for various glue additions in the presence of increased levels of antimony. Cyclic voltammetry was investigated as a method of optimising glue additions in the presence of antimony.Scanning electron rnicroscopy showed deposits characteristic of the impurity element present and the glue addition rate. Cyclic voltarnmetry measurements showed some correlation between current efficiency and activation polarisation potential. The importance of using tankhouse electrolytes where results are to be related to tankhouse operation was noted.

Jan 1, 1988

This paper presents a method for estimating the strength and stability of model coal pillars with bedding planes (weakness planes) inclination. The strength of coal relative to the angular difference between the principal stress direction and bedding planes is considered. The failure behaviour of model coal pillars containing weakness plane inclination by using servo-control Schenck Machine are shown. Uniaxial and triaxial compressive strength of coal specimens are investigated, and test results indicated that the strength of coal pillars depends on the weakness planes inclination with respect to the principal stress direction. However, it is shown that with increasing confining pressure, the effect of weakness planes inclination on the strength of the coal specimens is reduced. An empirical method is given for prediction the compressive strength of coal containing weakness planes inclination. The results of this method are compared with the experimental results and Jaeger theory. Finally, three well-known empirical strength criteria were tested against the triaxial test data for coal containing weakness planes inclination.

Jan 1, 1995

By Davies K. E

Several nuclear techniques have been assessed for application to online conveyor belt analysis of oil yield from Rundle oil shale. The most favourable technique is neutron inelastic scattering which determines the total carbon content of bulk shale samples. Correlations of chemical laboratory assays for 540 Rundle oil shale samples show that oil yield can be predicted from total carbon to within 11 litre/tonne.Laboratory experimental work on 17 bulk samples of Rundle oil shale indicated that carbon and oil yield can be determined to within 0.6 wt per cent and 9 litre/tonne, respectively, using the neutron inelastic scatter technique. A practical neutron inelastic scatter gauge for application on a 23 mm thick reinforced conveyor belt could consist of a 5 curie 241 Am-Be neutron source and a 150 mm diameter x 100 mm thick Nal(TI) detector. With this gauge, the analysis time to achieve a counting statistical error of 6 litre/tonne should be about five minutes.

Jan 1, 1985

This paper outlines the aims, objectives and means by which a life of mine land use plan was established for Comalco's bauxite mine at Weipa. Comalco realises the need to strategically plan for future mining activities and still minimise the impact of operations on the natural resources of the region. With this realisation long-term forward planning has been implemented to improve the Company's ability to select future sites for mining, industrial use, agriculture, town expansion and conservation purposes.The knowledge of mineral, water, soil and animal resources has expanded dramatically in the past decade. During 1990 Cornalco purchased Geographic Information System technology which has allowed previously collected resource data to be presented in map form. These maps as part of the Life of Mine Land Use Plan are both information based and strategic which can be efficiently updated. The maps allow a broad audience from engineers, geologists, environmental scientists and site managers to government officers and the general public to comprehensively view and scrutinise the operations.

Jan 1, 1992

By Ishikawa K, Kikuchi T, Tokairin Y

Roadheader, developed from coal cutting machines, is generally classified as a tunnel excavation machine for soft rocks in respect to excavation mechanism, machine structure, weight, engine output and so on. In recent tunnel works, however, there is an increasing demand for changing from blasting to mechanical excavation by roadheaders to avoid environmental problems such as noise and vibration. But there exist various difficulties in excavation of harder rocks by roadheaders. In order to explore the possibilities of roadheader excavation, we performed field and laboratory experiments. In the field experiment, roadheader model S-125 (Mitui Miike Machinery Co.,Ltd.) was tested for various rocks of wide range of hardness, and excavation capacity and wear of picks were measured. In the laboratory test, cutting performance of the picks was tested by our cutter testing machine. This report describes thr: of these experiments and discussions :n possibility of applying boom-type tunnelling machines to hard rock excavation based on these experimental data.

Jan 1, 1987

By Kaleta S, McTavish LP, Turner RD

Primary production blasting at Hamers- ley Iron began with seven inch holes at Tom Price in 1966 and has developed since then to large multiple row shots of 381 mm holes at Tom Price and 311 mm at Paraburdoo. Up to 1.3 million tonnes are initiated in a single blast with the average around 300,000 tonnes. Development can be traced through Anfo, AlAnfo, slurries, various boosters, initiation and delay techniques, hole loading and daily operating practices. A standard practice could be developed for the two mines for normal pro- duction blasts; this would not apply to such common variations as low "paddy" shots, pre- splitting, tight corners necessitating single row drilling etc. Because of ground variation three or even four sizes of drill holes may well be economic- al for blasting, even though this would be off set by complications in operation, supervision, store stocking and maintenance, particularly in Drilling.

Jan 1, 1978

By Pollard D, Meadows N

The presence of impurities which are electropositive to zinc in acid zinc electro- lyte causes changes to deposit morphology and reduced current efficiency. Glue may be added to control some impurity effects, but assaying for animal glue concentration is difficult and seldom done. Measurement of the activation overpotential for zinc deposition by cyclic voltammetry is used in some plants to monitor electrolyte quality and control glue additions. The deposit morphology and current efficiency of zinc deposition from commercial electrolyte were investigated for various glue additions in the presence of increased levels of antimony. Cyclic voltammetry was invest- i,ated as a method of optimizing glue additions in the presence of antimony. Scanning electron microscopy showed deposits characteristic of the impurity element present and the glue addition rate. Cyclic voltammetry measurements showed some correlation between current efficiency and activation polarization potential. The importance of using tankhouse electrolytes where results are to be related to tankhouse operation was noted.

Jan 1, 1984

By W L. Lane, T R. Yanske

The Doe Run Company and its predecessors have been mining for over 130 years utilising the room and pillar mining method. This method has left approximately 20 per cent of the orebody in the remaining pillars. The original design and planning for the mines did not include extensive pillar extraction. This paper summarises the introduction of the pillar extraction and backfill techniques which have been implemented since 1991. These techniques include the use of low cost fill walls up to 20 m in height and the use of slinger trucks for topping off the fill. In conjunction with these accomplishments, much experience and confidence has been gained in the use of numerical modelling as a method of predicting pillar stability as the mining of pillars progresses. These advances have led to pillar extraction becoming a major portion of the overall production and have added to the mine life of Doe RunÆs six operating mines.

Jan 1, 1998

By Williams SR

Column Flotation cannot be used indiscriminately. Based on extensive pilot plant experience at Lakefield Research, a number of limiting parameters have been identified for the application of column cell flotation. Parameters of importance are the use of wash water, flotable mineral content, pulp viscosity, type of mineral selectivity being sodght and degree of mineral liberation. The paper discusses when wash water should be used and the positioning of a column within the circuit as this is important to maintain a sound water balance for the circuit and prevent excessive circulating loads. Other areas of debate are pulp chemistry, very low and high weight recovery, for which the conventional column is a poor selection of equipment, and treatment of complex ores, where the separation of valuable minerals is more difficult than non-sulphide, sulphide mineral separation. Based on these observations, the application of column flotation must be carefully considered or can be optimised.

Jan 1, 1993

The paper describes a computer model developed within the State Electricity Commis- sion of Victoria for use in open cut planning. The purpose of the model is to simulate all the typical occurrences in, and influences on, the coal supply and overburden disposal systems in order to be able to assess their performance. The model incorporates much of the long term and day-to-day operations planning logic required for the allocation of resources within an open cut. This logic takes account of power station demands, bunker stocks, plant and crew availability, the balance of reserves between dredgers, planned maintenance, etc. The perfor- mance of plant within the system is simulated using random selections from statistical distri- butions of Time to Failure and Time of Failure for each plant item. The application of the model in selecting a suitable bunker capacity in a notional open cut development is described to illustrate the potential of the model in optimising plant selection.

Jan 1, 1982

The proximity of the Town of Kalgoorlie to the Mount Charlotte mine necessitates that charge weight per delay be limited in order to keep surface vibration levels within acceptable limits and to reduce damage to underground workings. The mining system requires that large mass blasts must be used to recover pillars and therefore a large number of separate delays are needed. Until recently all blasting has been done electrically, fired from mains, but with the introduction of large diameter blastholes (165mm diameter) this firing system was inadequate. Various firing systems were considered, but after extensive trials a non-electric sequential firing system was chosen. This system fulfilled all criteria of blast design, was relatively straight forward in charging technique and had a very simple primary initiation system. Although initially designed for large mass blasts, the non-electric firing system is now used for all large hole blasting and in a simpler form for small (57mn diameter) holes.

Jan 1, 1982

By Weller K. R, Trahar W. J

The Mount Lyell Company treats some 2.3 million tonnes of ore annually, mined from a number of orebodies on the field. Blended ore is essentially a quartz-sericite schist containing about eight per cent of pyrite and three per cent of chalcopyrite. Four-stage crushing and two-stage ball milling are followe by selective flotation for copper. Pyrite is recovered from the coarse fraction of dopper circuit tailings. A detailed survey involving examination. of 82 samples provided information on the size- by-size behaviour of the principal ore constituents throughout the grinding, copper flotation and pyrite flotation sections of the circuit. Results for the copper and pyrite flotation sections are presented in the paper, and it is shown that over half the copper reporting to the final tailing (5% of copper in the feed) is plus 100 microns and that the major pyrite loss is in the desliming cyclone overflow. These data proVide a basis for assessing potential methods of circuit optimisation.

Jan 1, 1977

Long-range side-scan sonar and conventional geophysical data for the Peru Trench region (8`S-15¦S latitude) have been analysed. The data show that the Peru Trench is a site of sediment subduction where bending-induced normal fault-ing of the Nazca plate plays a key role. The sediments are continually removed from the trench axis region by their inclusion in normal fault-defined void spaces, such as grabens. In the process of subduction, the sediments are often offscraped, folded arid kneaded temporarily at the base of the shoreward trench slope. The subduction complex comprising such sediments is narrower than 20 km and its volume remains more or less constant due to regular removal of its contents along with the down-going plate. Addi-tionally, morphology of the subducting Nazca plate is responsible for subduction erosion of the South American plate, where the horst blocks cause tectonic erosion by abrasion and the grabens provide a mechanism for removal of the eroded material.

Jan 1, 1990

By Rashchenko AF, Voiloshnikov GI, Elshin VV, Khomutov VV

The sorption method for the precious metals recovery fromsolutions and pulps are a perspective trend of modernhydrometallurgy. Russian gold mining industry uses thesemethods, anion-exchange resins being applied as sorbents. Theanion exchange resins allow effective recovery of preciousmetals, however, they have several drawbacks as compared withactivated carbons: high cost of sorbents; difficulties arisingduring treatment of pulps with complex ion composition;necessity of using titanic equipment and thiourea for gold elutionfrom loaded anion-exchange resin and its regeneration.

Jan 1, 1993