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Discounted cash flow (DCF) methods are well suited and recommended as a primary valuation method for mineral assets for which there are at least indicated resources and some form of feasibility study containing engineering, production and capital and operating cost data. DCF methods are also applicable as a secondary or check valuation method for exploration properties for which no technical study has been prepared. For projects where little or no engineering, production and/or cost data is available, the process of formulating a project concept by specialists who do not possess experience and expertise in the relevant technical faculties is totally rejected as a basis for applying DCF techniques as a primary valuation method. Such an approach runs counter to The Australasian Institute of Mining and Metallurgy (AusIMM) requirement to apply relevant expertise to specific aspects of mineral valuation. Technical and commercial inputs to mineral valuation should be reviewed by specialists who have specific expertise in the relevant disciplines, and should be tempered by the quantity and quality of technical evaluation which has been undertaken and the development status of the asset.

Jan 1, 1994

In the future, Illawarra Coal, the primary metallurgical coal producer in the southern coal fields of New South Wales, will face many unique challenges not found in other coal or minerals production areas. To manage these challenges and determine the best strategy for the business, Illawarra Coal has adopted a systematic strategic planning process, which starts from the broadest possible options analysis and culminates in a ægo-forwardÆ operating case that individual mine sites use as the basis for short-term planning. This paper will discuss two major topics. Firstly an overview of the Illawarra Coal and BHP Billiton strategic planning processes. This will demonstrate the range of variables and inputs that are required for the planning process, and the system which is followed to evaluate different alternatives for the extraction of the resource. Secondly, having discussed the primary external and internal factors that must be accounted for in the planning process, and the main issues affecting the viability and likelihood of each alternative, the paper will discuss the particular challenges that Illawarra Coal will face in the coming decades. These challenges include: market and price uncertainty; managing impact on surface features, infrastructure and environment; community interaction; transport and logistics constraints; unknown mining environments; lack of geological knowledge; limited surface access for new mining domains; changing attitudes to longwall mining in the Illawarra; ageing workforce; and cost and overhead management. The paper intends to discuss how these issues impact the business currently and how they are incorporated into Life of Asset plans and overall corporate strategy for Illawarra Coal.

Jan 1, 2007

By Haartti J

Generally when equipment is chosen for solving a dewatering problem, the equipment is based on one of following physical methods: gravity (sedimentation, screens), vacuum (vacuum drum and disc filters, belt filters), pressure (filter presses, hyperbaric filters) and centrifugal forces (centrifuges). The choice of method and type of equipment depends, among other things, on the requirements on the maximum water content allowed in the filter cake and on the particle size distribution and the concentration of solids in the material to be dewatered. All the above-mentioned equipment has its benefits and drawbacks. The conventional vacuum filters of drum or disc type are of a simple construction with few parts to be replaced, but these filters produce a filter cake with a fairly high moisture content, and a dryer is required for additional drying. In most cases the use of pressure makes it possible to produce filter cakes with the desired moisture content but the equipment is of complicated construction, leading to high maintenance costs . In addition to this the consumption of compressed air is high. The capillary filtration to be described in this article is a dewatering method which combines the benefits of both the conventional vacuum disc filter and the filter press. The capillary filter produces low cake moistures with a machine of very simple construction similar to that of the vacuum disc filter.

Jan 1, 1993

By B R. Olsson, N Marinopoulos

To establish the design and the capacity of the Stanwell Magnesium Plant, Australian Magnesium Corporation Ltd (AMC) with Fluor Australia has modelled the operation of the magnesium plant using ARENA Simulation Modelling. The reliability model has been used to evaluate: surge capacities required between different sections of the plant; critical equipment requiring standby capacity; the number of trains required for different sections of the plant; and potential capital cost reduction options. The reliability model was established using the detailed Process Flow Diagrams, reliability information from literature and maintenance, operation and start-up experience from the Demonstration Plant. The model was run with different plant configurations to assist AMC in determining the most effective configuration to provide the production capacity at the lowest capital cost. The model was not only able to confirm the plant capacity to the independent technical expert but was able to minimise quantitative risk by minimising the quantities of hazardous materials on site. Fluor Australia provided the ARENA simulation expertise and has used this software for optimising new plant design and to establish improvements in operating plants. Reliability modelling is a normal feature of chemical plant design but is rarely used in the resource industry. The experience gained by AMC in the modelling system has indicated that metallurgical plant design can be improved by the application of reliability modelling.

Jan 1, 2002

By H R. Phillips

The ventilation and refrigeration design of underground mines is an important aspect, when new or existing mines are considered and places a great responsibility on engineers tasked to do so. The current trend for both local and international underground mines is to extend their search for valuable ore reserves deeper below surface. In South Africa, the predictions are that about 40 kt of actual gold still lies in situ, ready for extraction. As mines extend their search for minerals of economic value deeper and deeper into the earthÆs crust, ventilation and refrigeration aspects of such mines become more prominent than before. The planning and design of the required ventilation and refrigeration within these mines, over their expected lifetime is important including the practical implications of such designs. Technology changes and improvements need to be incorporated into ventilation and refrigeration designs, where possible and advances in this specialised field explored. This paper explores ventilation and refrigeration design aspects within the underground mine sphere. Aspects such as mining depth, virgin rock temperature (VRT), mining methods, and different cooling applications available including ventilation supply are reviewed in design applications. Heat generally becomes a significant aspect to counter in these mines and they are not always necessarily deep mines.

Jan 1, 2005

By R Trueman

An improved ability to predict dilution for narrow vein deposits enables more accurate economic comparisons between mechanised longhole stoping and other narrow vein mining methods, as well as reducing uncertainty surrounding dilution estimates for deposits at the prefeasibility/ feasibility stage. This paper proposes narrow vein dilution prediction and minimisation strategies for both greenfield sites and operating mines, respectively. The narrow vein dilution method (NVD method) is a tool for more accurately predicting longhole narrow vein dilution. The method is based on a new concept called benchmark stoping width. Benchmark stoping width is based on probabilistic analysis of overbreak distributions from a typical longhole narrow vein mine. The premise for the NVD method is that dilution associated with longhole stoping can be predicted using the benchmark stoping width. In addition to dilution prediction, the NVD method also includes strategies for narrow vein dilution minimisation generally, including; filling, cablebolting, stress relaxation, extraction sequencing and blast overbreak.

Jan 1, 2008

By S McKnight, S Hall

Much of the research regarding the use of bacteria for the oxidation of sulfide minerals has been conducted using pure bacterial strains or synthetic minerals, often under ideal conditions, which does not reflect the conditions commonly encountered in commercially operating plants. This has also led to much conjecture as to the exact mechanism by which bacteria are able to enhance sulfide oxidation and as to which species of bacterial microflora are the most dominant. Recent advances in 16S rNA sequencing has confirmed that many of the bacterial species once thought to dominate commercial oxidation circuits were simply more willing to grow under the culturing conditions used and may only play a minor role in the oxidation process (Rawlings, 2002). Consequently this research will look at bacterial oxidation under conditions more reflective of commercial operations, focusing on the presence of organic carbonaceous material within a refractory sulfide orebody to be sourced from the Fosterville deposit of Perseverance Corporation Limited.

Jan 1, 2004

High precision GPS systems for mining are accurate to within a few centimetres. Typical systems consist of one or more GPS antenna, GPS boards, sensors to detect the position of the blade or bucket of the machine radios to pick up correction signals, a computer to control the system and a display screen to give instructions and information to the operator. GPS systems offer two benefits û they give information to the operator to get his job done faster and more accurately and they can send information to management about how the job was done. On dozers, GPS systems allow the operator to accurately complete earthmoving jobs with no survey pegs. On hydraulic excavators the systems can be used to accurately locate the position of the bucket teeth for selective mining. On blasthole drills the systems can guide the operator to each hole and record accurate as-drilled plans. By reporting the position of the blade or bucket in three dimensions it is possible to continuously upgrade a mapfile of the excavation. From this file it is then possible to report productivity numbers in real time. High precision GPS works best with a minimum of five satellites visible. This may be difficult in a pit. Systems which also access the Russian GLONASSS satellites offer significantly better uptime. GPS systems will become indispensable for efficient mining operations in the future.

Jan 1, 2003

University education in Australia is changing, driven by greater market orientation, reduced funding available per student, especially in the higher-cost minerals industry disciplines, and the call for more flexible delivery of subjects and courses to meet changing lifestyles and expectations. The opportunity exists for a true partnership to develop between industry, government and academia that will reshape minerals education in Australia and secure the future supply of the specialists industry needs to maintain international competitiveness. If this partnership does not emerge, it is anticipated that AustraliaÆs somewhat fragmented and unstable higher education system, especially in the disciplines of particular relevance to the minerals industry, will be put under further pressure so decreasing its effectiveness to produce quality graduates. The Minerals Council of Australia in 1998 published æBack from the BrinkÆ, a discussion paper which proposed strategies to build a world class minerals tertiary education system in Australia. Those strategies are now being implemented collaboratively with principal emphasis on the disciplines of mining engineering, metallurgy and earth science and as far as process is concerned, on the necessity to æcooperate to competeÆ. For metallurgy, the challenge is to integrate more closely undergraduate teaching with the existing world-class research centres and to link the tertiary institutions in such a manner that the strengths of all components are harnessed and then made available nationally in major population centres and at remote sites where appropriate. For industry the challenge is to build effective partnerships with the academic community that will enable and assist the agreed course of action to take place.

Jan 1, 2000

By A Maurer, N Pereira

Low-density explosives have been developed with trials being conducted for over 20 years and yet have still only gained limited market acceptance despite producing some very promising results. The biggest concern with industry acceptance has been disbelief that a product with lower density than the ANFO benchmark could fragment anything but the weakest of strata. Trials have been carried out with products such as diluted ANFO, low-density ammonium nitrate (AN) and various other mixes, although it has been only recently that low-density explosives have been accepted as a serious alternative to traditional products such as ANFO and heavy ANFO. The recent uptake of low-density products has been the result of several key factors: the current resources boom forcing AN supply issues, the development of new handling techniques, and a far better understanding of the utilisation of such products. This paper highlights the benefits of low-density products available in the market and focuses on the situations where low-density explosives can provide the end user with benefits that would otherwise be achieved through more time consuming methods. Through correct implementation, low-density explosives can provide the blast designer with another option when looking at the optimum method of breaking the rock. This while still controlling the other limiting factors such as cost, environmental impacts (noise, vibration, dust and fumes), coal damage and safety (stable walls).

Jan 1, 2005

By M Pizey

After 60 years of operation, coal extraction at Solid Energy New ZealandÆs (SENZ) Strongman Mine, near Rapahoe is scheduled to end in early 2005. Up until 2003 the closure bond for Strongman Mine was only $930, and both SENZ and the West Coast Regional Council (WCRC) agreed that a more realistic level of bonding was required.   A conceptual closure plan has been developed by Golder Associates, and the cost of the work estimated. Closure includes decommissioning of equipment and facilities, rehabilitation and replanting of all disturbed areas and a period of maintenance and monitoring to verify that closure objectives have been met. Significant maintenance allowances are included to cover management of underground fire, subsidence and slope instability. These make up much of the potential ongoing environmental liability at the Strongman. All costs incurred beyond year 1 of closure are discounted to present value. Uncertainty in costs is addressed by Monte Carlo simulation, with an 80 % confidence level adopted.   A bond quantum of $3.0 million has been calculated for the first year of closure at Strongman. A three-year ærollingÆ bond is proposed. Progress will be reviewed annually, with the bond adjusted up or down accordingly. It is then renewed for a further three years. This allows for progressive return of the bond as rehabilitation objectives are met and verified. Similarly, if there are delays in meeting objectives, a proportion of the bond may need to be kept in place for a longer period than assumed. The level of bonding in place for the Strongman operation at any time in the future will therefore reflect the cost to complete the closure work programme.

Jan 1, 2004

A review of publicly available coronial inquiries into fatalities that have occurred within the resources sector since the year 2000 reveals that a loss of corporate memory has been a contributing factor in 40 per cent of these accidents (National Coroners Information Service, 2010, Appendix B). With the highest levels of employee turnover within the Australian economy, increasingly complex operations and an ageing workforce, the management of corporate memory within the Australian resources industry poses a significant and often unrecognised safety risk.    The North Parks airblast of 1999 is used as a case study to highlight how corporate memory loss poses a significant hazard to resources projects and how such incidents will continue to occur if corporate memory is not effectively managed. Best practice from other industries is discussed to demonstrate how knowledge management systems can effectively work. This paper discusses how systems can be put in place within the geographically diverse resources sector, and how at the heart of any knowledge management system a culture of knowledge management needs to exist within an organisation.   The paper then discusses the importance of retaining key personnel and utilises findings from primary survey data collated in 2009 to show the size of the retention problem within the industry. From the data possible solutions to retaining key staff are proposed.   Finally the large and increasing role of contractors and consultants within the industry is discussed and methods of managing their knowledge are proposed.

Jun 1, 2010

By Tapp BA

Australia, considered an energy and mineral resource rich country, is poised on the verge of a major mineral industry 'boom'. It has been repeatedly emphasised that this growth in the mineral industry will form the basis of future economic development. Currently the mining and mineral processing industries use some 32% of the annual primary energy consumption in Australia. This share, although large even now, will increase with the realisation of the 1980's production expansions to 40% by 1985. Two metal industries dominate the energy scenario; iron and steel and aluminium. Major expansions in the local industry will be dominated by the aluminium industry. This highly energy intensive industry has planned major increases in metal production throughout the eighties. The implications of exporting cheap energy to pay for expensive oil imports, the ramifications on Australia's infrastructural ability to supply these major energy needs and the other options that might be

Jan 1, 1981

In epithennal deposits changes in the character of mineralization in depth and time are conspicuous and abrupt at the interface between supergene and hypogene zones. As the reaction zone migrates downward as a consequence of surface erosion, previously deposited minerals are placed in unstable chemical enviromments and dissolved. This reaction takes place at the base of the epithermal precious metal zone. Examples at Cerro de Pasco, and Casapalca, Peru; Carlin, Nevada; and porphyry copper-gold deposits are cited.

Jan 1, 1991

By Opitz E. A

The integration of environmental and permitting strategies into development has become a routine part of doing business for the international minerals industry. Paralleling the development schedule with the environmental and permitting schedule is critical to ensuring that design recognises environmental constraints and that the environmental and permitting program has the right focus and achieves the objective of obtaining workable permits that reflect the project design. Regulatory issues including the law of and controls established by the country the project is situated in, the requirements of international financing institutions, international politics and the role of environmental groups and the particular precedents and processes established are all important issues that must be recognised and incorporated into the permitting program by the developer. Technical issues including collecting early environmental data during exploration, establishing hydro-meteorology equipment, baseline data gathering, and getting good environmental engineering information as a part of feasibility and design are also critical issues to the success of a project which are under the direct control of the developer. Finally tying all of these issues into a single integrated strategy under the direction and control of a nominated team is necessary to maintain focus and achieve results.

Jan 1, 1997

The paper gives details of the reasons why attention was directed towards the modification of flotation cells. The cell volume and impeller speeds were reduced, and it is estimated that the power consumption for lead and zinc flotation will be reduced by about 2·8 kWh per ton of ore treated, and that substantial savings will be made in maintenance costs. The metallurgical efficien.cy of the operation has been maintained and attention is now being directed towards the improvement of grades of concentrates and recoveries of metals.INTRODUCTIONIt was on 1st August, 1934, that the first Denver No. 21 flotation cells were operated in the treatment plant of The Zinc Corporation Limited, in a pilot Nant which had been installed to determine the economics of all-flotation as against the then existing gravity and flotation practice.The ore being mined at that time came from the lead lode which consists of a granular mixture of galena, marmatite, chalcopyrite, tetrahedrite, pyrrhotite, pyrite and lollingite with a gangue association of calcite, quartz, bustamite, rhodonite, manganhedenbergite, garnet, fluorite, manganocalcite and apatite. The silver content of the ore occurs in three minerals-tetrahedrite, dyscrasite and pyrargyrite, the last two mentioned occurring in microscopic association only.A parallel lode, known as the zinc lode, was well developed at that time. The common lead lode gangue minerals-calcite, rhodonite, bustamite-were rare in the underground exposures of the zinc lode. No metallurgical work was done on this ore during the pilot plant operations although since then both lead and zinc lode ore have been treated.Early in 1936 plans were made for the complete re-organization of the mine operations, and in view of the metal-

Jan 1, 1956

External pressures are being exerted on busi- ness, and especially the mining and energy in- dustries, as never before. These pressures are burdensome, they emerge in unique forms, and they constitute an entirely new operating environ- ment for business. They pose one of the signi- ficant challenges to senior management today. To cope with these pressures-which we have termed the new public realities-we must deal more effectively with the media, the public, and government. However, before examining methods for improvement, it is essential to understand the nature of these new public realities and par- ticularly their determinants-the underlying eco- nomic, sociological, political, and international events and trends which have shaped them. Previously the productive element of society had only to concern itself with what might be termed `conventional realities' : the costs of labour, equipment, and land, as well as marketing and distribution factors.

Jan 1, 1978

By C Hertle, B Goebel, R Fabre

The mining industry maintains a ælove-hateÆ relationship with water. Dewatering, aquifer, water disposal, irrigation, process water, tailings water, run-off water, seepage, leachate and sumps are all terms that are used on a daily basis in the mining industry, highlighting the numerous water usages on site and their associated quality. According to the Australian Bureau of Statistics (2001), each year the mining industry consumes over 530 000 ML of water. The increasing recognition of water as a limited and valuable commodity, and the associated environmental concerns with the management of water disposal to the environment has led the industry into improving on-site water management. Progressively, water balance models and water reuse strategies are being developed, incorporating more sophisticated water treatment processes. By way of example, membrane technologies, once restricted to industries such as the pharmaceutical industry or the drinking water industry, are now entering the mining world with the aim of producing clean water of suitable quality for ore processing or for advanced treatment prior to release to the environment. This paper will provide a review of the threats and opportunities linked to water use and recovery/reuse in the mining industry in Australia. It will open with an overview of current water usage and associated quality for various mineral industries and continue with identifying the threats and limitations associated with the quality of available water. It will then present how newly developed water treatment technologies and assessment tools can be incorporated into the system to enhance the recovery and reuse of water on site, reduce the risks associated with securing long-term water supply and further improve production, environment and safety (health risk control).

Jan 1, 2006

By Campain RA, Horner NJ, Limerick JM

The review covers the different concepts of automation which are appropriate to non-ferrous smelting and the degree to which the smelter, and the furnace in particular, is amenable to total automation. Due to the problems peculiar to a smelter, it is unlikely that a fully closed loop system could ever be achieved and that the smelter will continue to depend upon extended manual control supported by computer based information sorting and optimisation.Generally, loop control is performed using Taylor's Mod III process control system. For distinct plant systems involving a combination of process loops, sequencing, and data acquisition, the company has developed its own microprocessor based systems. Process optimisation using computer based analysis of operating data is well established. Utilising this data, computer modelling provides manual set point supervision for the furnace process control system.The impact of automation on the workforce and on operating costs is also examined. Predictions on future developments in the field of automation, optimisation and sequencing are propounded and related to the non-ferrous industry at large.

Jan 1, 1985

By G Munro

he Melbourne City Link project will complete a missing link between two existing major freeways in the Melbourne road network, providing a much needed bypass of the Central Business District for through traffic. The project, which is being financed under a BOOT arrangement with the Victorian State Government, involves the upgrading of significant stretches of existing freeway and the construction of new sections involving viaducts and tunnels. The tunnel sections, which are the focus of this paper, are beneath residential and business areas, the Yarra River, the Royal Botanic Gardens and significant sporting facilities where surface construction would be either impossible or unacceptable (reference Figure 1). The shorter, 1.62 km west bound Domain tunnel comprises two cut and cover sections through Olympic Park then the Yarra River, the driven section of 0.68 km length and exits through a common cut and cover section with the east bound tunnel under St Kilda Road and Sturt Street. The longer 3.76 km east bound tunnel commences at the common portal, through cut and cover under St Kilda Road then 2.86 km of driven section before exiting at a cut and cover section at Burnley. The longer Burnley tunnel has an access and ventilation shaft at approximately its mid point.

Jan 1, 1999