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By J. A. Botín

NPV is a static measure of project value which does not discriminate between levels of internal and external risk in project valuation. Due to current investment project?s characteristics, a much more complex model is needed: one that includes the value of flexibility and the different risk levels associated with variables subject to uncertainty (price, costs, exchange rates, grade and tonnage of the deposits, cut off grade, among many others). Few of these variables present any correlation or can be treated uniformly. In this context, Real Option Valuation (ROV) arose more than a decade ago, as a mainly theoretical model with the potential for simultaneous calculation of the risk associated with such variables. This paper reviews the literature regarding the application of Real Options Valuation in mining, noting the prior focus on external risks, and presents a case study where ROV is applied to quantify risk associated to mine planning.

Jan 1, 2012

The use of scrapers in mining and earthmoving operations is not new, in fact they are one of the earliest methods of bulk earthmoving. A single machine which can load, haul, and dump material with a minimum of ancilliary support is a highly productive and cost-efficient method of earthmoving. In recent times scrapers have been unpopular due to perceived problems and operational limitations, but the last couple of years have seen a resurgence in the use of scrapers in the Bowen Basin as a primary prestripping tool. The main operational limitation of scrapers is the economic operating range. maximum productivity and lowest cost per bcm is achieved on short leads, as the lead distance increases the cost per bcm quickly reaches and then overtakes that of an truck-excavator fleet. The geometry of a ætraditionalÆ coal mine does not readily allow short leads for prestrip fleets due to the nature of dragline stripping operations. The strip arrangement means that material has to be taken around the end of the pit, meaning a longer haul distance than the actual point-to-point distance between load and dump. This can be alleviated by using pit bridges, however these can cause spoil problems for draglines if not properly planned and have been avoided by many mines. Due to the economic haul distance limitation of scrapers, truck-excavator fleets have become the normal method utilised. Currently more geologically complex mines are opening up, which do not allow traditional down-dip strip mining to occur. Cross-dip mining methods allow for short leads between prestrip loading and dumping areas, hence scrapers and bulk doze are realistic alternatives to a truck-excavator fleet in the prestrip environment. Keeping the lead distance to a minimum a fleet of 657Æs can move material at a very low cost. The other main operational limitation of scrapers is the type of material that can be economically excavated. Hard material can lead to damage to the bowl, free-flowing sand will not readily stay in the bowl leading to reduced load factors. Ripping the material with a dozer prior to excavating can lead to improved loading time, and greatly reduced GET consumption. When considering scrapers for prestrip operations a number of things must be considered: is the lead distance within the economic haul distance? should twin power (push-pull) or single power (dozer pushed) scrapers be used? do I need to rip, what should I rip with? what ancilliary support is required? is there another system already available on-site which is currently under utilised? This paper considers the parameters under which large twin power scrapers are the most effective way of undertaking prestrip operations.

Jan 1, 2003

By A T. Yuniar, C A. Brannon, N D. Pascoe, H H. Firdausi

This paper describes the key components of the Grasberg Block Cave (GBC) mine design and the development and construction status of the mine. Drawpoint production from GBC will be initiated in 2018 following the closure of the Grasberg open pit. Full production of 160 000 t/d is planned for 2024, which will make it a 20-year time period between initial access development in 2004 and full production.Diluted ore reserves are about 1 Bt at a grade of 1.0 per cent Cu and 0.78 g/t Au. The mine plans some 2400 drawpoints on a 20 m × 30 m drawbell spacing in a 700 000 m2 footprint using the El Teniente layout. The drawpoint opening sequence includes five production blocks, the first two of which are scheduled to be undercut simultaneously in 2018. Ore is transported using diesel-powered load-haul-dumps to a series of orepasses and then delivered via loading chutes to a rail haulage system, which delivers the ore to a three gyratory crusher complex. Crushed ore is transported to the mill stockpiles via dual inclined conveyors.Development and construction of the substantial fixed facilities are now well underway. Primary access for personnel and materials is via the 6 km Ali Boediardjo (AB) adits. A service shaft will hoist personnel and materials from the AB adits level to the various operating levels. Shaft commissioning is scheduled for late 2015. The rail haulage system installation and construction is in progress and is due to be commissioned in 2017, which is timed to coincide with the commissioning of the ore handling system. Ventilation is provided through a series of large intake and exhaust drifts, and two of the four main fans have been commissioned. A 1600 L/s pumping system will manage drainage from the mine.Other key facilities include separate shops for rail and rubber-tired equipment, warehousing, a powder magazine, a main control centre and an underground concrete batch plant.CITATION:Brannon, C A, Firdausi, H H, Pascoe, N D and Yuniar, A T, 2016. Development and construction update of the Grasberg block cave mine, in Proceedings Seventh International Conference and Exhibition on Mass Mining (MassMin 2016), pp 625–634 (The Australasian Institute of Mining and Metallurgy: Melbourne).

May 9, 2016

By Kurt RP Petersen, Hendriena van der Walt

With the decline in fine diamond production from the Argyle mine in Australia, there is a greater emphasis on efficiently treating the finer size fractions through a DMS circuit. Although it is generally well understood that smaller diameter cyclones are more appropriate for this application, practical results do not necessarily meet this expectation. In this paper the operational performance of particular sized cyclones throughout the group was compared. Based on the results there is evidence that under certain practical operating conditions, small cyclones are not necessarily best for fine size particle treatment, particularly given the production pressures faced by all mines. However, there seems to be considerable merit in using larger sized cyclones, which tend to exhibit less performance variability, irrespective of operation conditions.

Jan 1, 2006

By B. R. Klahold

Each year hundreds of mineral specimens and numerous inquiries regarding tests and analyses of minerals and related inorganic substances are received by the Bureau of Mines. In response to this demand, in years past Information Circulars were published containing a list of laboratories. This paper is a revised version of Information Circular 7523, The listing has been changed from a regional basis to one of States arranged alphabetically and grouped by cities, again alphabetically, with Alaska and Canada listed at the end. All the services given at these laboratories are listed on one page for convenience and brevity. This list is compiled as a public service, and none of the laboratories listed herein are recommended over any other nor can the Bureau of Mines vouch for their results.

Jan 1, 1954

By R. G. Shen

The relation curve of strain and acceleration is presented in this paper. The steel pipe pile of 609.6 mm in external diameter driven by IDH-45 diesel motor hammer on the esturial shoal of Yangtze River. The ultimate bearing capacity of pile is analyzed by one dimensional wave equation and the effect of computational parameters of the equation is discussed.

Jan 1, 2010

By A. D. Fowler, M. T. Anderson

A phenomenological model is presented that relates Pb-Zn mineralisation to proximal geopressure zones. Typically, geopressure zones (GPZ) consist of masses of undercompacted sediment encapsulated within impermeable shales and are characterised by high formation fluid pressures. Heat flow is perturbed in some GPZ on account of their insulating properties. Geothermal gradients as high as 150 degrees C/km have been observed over short distances in the sediments of the US coast of the Gulf of Mexico. Some modern geopressure zones are known to reach temperatures of 120-150 degrees C at depths of 2.5-3.5 km. It is demonstrated that the zones may act as proximal sources of hydrothermal fluids, thus explaining the high temperatures of mineralisation observed in the deposits, which are hosted in basins characterised by thick, rapidly deposited, shale-rich clastic sequences

Jan 1, 1991

By Jack J. Ayotte, Michael R. Nadon

"Today's demand for better and more efficient methods inspires new approaches to construction and mine development.A project at Asarco's Aquarius Mine provided a challenge that resulted in the adaptation of a civil construction technique to a mining application.This paper describes the construction of an escapeway shaft to surface from the mine's 150m level. The prime consideration was to provide the most cost-effective method of establishing a shaft collar in the 145 ft (44 m) of water-bearing overburden. This problem was resolved with the employment of the drilled in-caisson method.The remainder of the 500ft (152m) deep shaft was raise bored and portable hoisting equipment was used to install a permanentmanway and shaft liner.IntroductionHaving completed the first phase of exploration development in 1982, J.S. Redpath Limited was engaged to carry out an engineering and cost study to investigate the feasibility of re-opening Asarco's Aquarius Mine near Timmins, Ontario. The scheme was to develop the proven ore reserves and proceed with shrinkage stoping while carrying out further exploration development and diamond drilling.One significant and costly component of the project was the provision of an escapeway shaft to supply additional ventilation as well as a second means of egress from the mine. The major complication to this task was the presence of 145 ft (44 m) of water-bearing overburden at the site. The first and obvious approach was to use conventional ground-freezing methods as had been employed previously on .this property for the initial development shaft. This being the only ""sure"" method available at the time of the budget estimate, it was used as a basis for the study but its considerable projected cost and time demand inspired further investigation into other possible solutions.After considerable research and several brainstorming sessions, a Redpath team came up with an approach whose basic procedures had been used extensively in the civil construction field, although they were novel to the mining industry."

Jan 1, 1987

By R. O. Williams

A recent article by Chernock, Singer, Mueller, and Beck 1 which supports the use of the integral of I sin $ d$ for comparing fiber texture data does not settle what happens to I sin ø as ø approaches zero, where I is the diffraction intensity for poles oriented 0 deg from the fiber axis. They indicate that they believe that it should approach some constant value (that is, I increases without bound) and the fact that in reality it does not was a result of the diffraction

Jan 1, 1960

By Ed Cope

The newly discovered South Arturo deposit is a Carlin-type, breccia-hosted, oxide gold deposit located on the Dee Mine property at the north end of the Carlin Trend in Nevada. The Dee Gold Mine was discovered in 1981 by Dee Delamar, a Cordex geologist. The property was put into production by Rayrock Mines in 1984. During its 16-year mine life, the Dee Mine produced about 18.6 t (600,000 oz) of gold from oxide ore at an average production rate of about 1.24 to 1.55 t/a (40,000 to 50,000 oz/year). In October 1997, Bar-rick Gold Exploration acquired the right to earn a 60-percent interest in the Dee property from Dee Gold Mines through an exploration farm-out agreement. Barrick Gold Exploration began exploration activities on the property in 1998 and vested in its 60 percent operating interest in 2004. However, the discovery hole at South Arturo was not drilled until July 2005 from atop the historic mine dumps located 300 m (985 ft) south of the Dee openpit. The discovery hole (BD-72) encountered a cumulative 75.6 m (248 ft) of oxide mineralization grading 1.9 g/t (0.055 oz/st) gold beneath 260 m (855 ft) of dump material and post mineral Tertiary Carlin Formation volcanic and sedimentary rocks. Oxidation within the deposit extends to depths greater than 610 m (2,000 ft). The deposit has passed the prefeasibility test and is presently in the feasibility stage. Exploration is on-going to enhance or enlarge the known deposit. The current resource for the deposit stands at 40.4 t (1.3 million oz) of gold. The South Arturo discovery is an example of an historic mining property yielding a new discovery through the diligent application of area selection criteria of the model type and persevering when early results were generally negative. Barrick?s original exploration pro-grams on the property were focused on the discovery of deep, high-grade sulfide deposits that would likely be mined by underground methods. As it turns out, South Arturo is mostly oxidized and will be amenable to mining by openpit methods

Jan 1, 2008

By T. Mudder, R. Cellan, R. Waterland, J. Whitlock, B. N. Nelson

The effectiveness of anaerobic in-situ biological treatment for the immobilization of selenium, molybdenum, and uranium in an alluvial aquifer was examined using long-term column tests. A series of organic substrate and nutrient combinations were tested to determine removal effectiveness, optimum supplement concentrations and ratios. Final column testing was conducted to determine the chemical stability of the treatment by-products/treatment compounds by dosing the columns continuously with elevated redox untreated alluvial groundwater.

Jan 1, 2002

By W. J. Kennedy, John D. Gardner

Introduction During the past 10 years, energy costs in mining have risen from about 4% to as much as 25% of total production cost. When combined with declining ore grades, these costs exert inordinate stress on mine productivity. Industrial engineering techniques have traditionally been aimed at improving manufacturing facilities productivity, but they have been applied to mining as pressure for productivity improvement has increased. These techniques can perform four useful functions for mining operations by improving methods, equipment selection procedures, energy use through scheduling, and managing energy costs rather than being managed by them. This article discusses some of the standard techniques for productivity improvement, and how they can be adapted to perform these four functions. Pre-Production The best time to seek high productivity is when a mine is being planned. During pre-production, when most options are still open, an optimum mine design is achievable. At this time, major equipment selections are made, the layout, material handling systems, and processes are designed, and critical energy source decisions are made. By including explicit energy cost projections, decisions can be made that will save significant amounts of money per ton of ore over the life of the mine. Attention can also be given to often overlooked details such as lighting. Some of the same tools used in new mine planning are applicable to productivity improvements at an existing plant. These tools are the charting and modeling methods that have been developed by industrial engineers over the past 75 years. Energy Consumption Before any analysis of energy consumption can be performed, preliminary work is necessary to find the kind of energy used, how much it costs the plant, and when electrical peaks occur. Past bills should be examined to determine the monthly consumption rate and the cost of each energy type. These data should be adjusted to remove effects caused by production fluctuations or weather. Knowing when electrical peak demands occur is necessary because these determine either the electrical capacity needed or the amount that must be bought. At $500-$800 per kW for construction or $5-$15 per kW per month for purchase, they represent a significant cost. By the time these data are collected, planners should be aware of the importance of energy in the total cost of mine operation, and should have the most crucial time data for electrical peak demand. Flow Process Chart Reducing costs can be accomplished by a thorough look at mine systems and how altering one system causes changes in others. By developing and exercising models of production processes outward to the transportation of the final product, otherwise obscured weaknesses may become apparent. There are tools available for analyzing the mine and its associated systems; one of the most useful is the flow process chart. The flow process chart gives a system analysis of a production procedure by classifying all actions into one of five types: operations, inspections, transportation, delays without paperwork, and delays with paperwork. Operation: In an operation, the nature of something is changed. Examples are blasting, washing coal, and processing matter. Denoted by 0. Inspection: Examining an object for identification or to measure some attribute. Examples are determining whether a drill hole is deep enough, deciding how far to cut under an unsupported roof when operating a continuous miner, or checking the lubricant level on a truck. Denoted bye. Transportation: Moving an object from one place to another. Examples are transporting overburden, moving coal on a conveyor belt, and pumping water. Denoted by =>. Delay without paperwork: A delay that is an inherent part of the system. Examples include idle time of a continuous miner while waiting for shuttle cars or for roof bolting, crushed ore in a storage area waiting for grinding and flotation, and people from one craft waiting for another craft to finish. Denoted by D. Delay with paperwork: A delay that can be terminated only by some written authorization. Examples are coal that cannot be removed until authorized by a bill of sale and transportation orders, personnel records, maintenance, or spare parts. Denoted by V. In practice, the flow process chart is completed after data collection and a detailed examination of the process. Data collection is needed to answer questions on distance, quantity, and time for each of the operations. As the analysis is being performed, each step of the process is subjected to these questions: • Why is the step necessary? • What is being moved? • When does the step take place, and why?

Jan 11, 1983

By G. W. Jones

In a previous report,6 results were given that showed the amount of natural ventilation in a manhole having a capacity of 74.l cubic feet when the number of ventilation openings in the cover was varied. from no openings to a maximum of 48. The results showed that the ventilation (air changes per day) in the manhole was proportional to the area of the openings in the cover, and also that the number or area of the openings was the factor that chiefly affected the ventilation.

Jan 1, 1937

The slags produced by the Imperial Smelting Process (ISP) are based on the system ZnO-?FeO?-Al2O3-CaO-SiO2. The slag chemistry is important to the process since it determines the fluxing practice and the operating temperature of the furnace required to produce fluid slag. The paper presents the results of the first systematic experimental investigation of these ZnO-containing slags in equilibrium with metallic iron, and provides information on the primary phase fields and liquidus temperatures in these slags over the range of compositions used in ISP practice. A feature of the slags is the presence of alumina, which has a major influence instabilizing the spinel phase. This information presented in the form of pseudo-ternary sections ZnO-?FeO?-(Al2O3+CaO+SiO2) enabling the data to be readily used by plant engineers. Keywords: liquidus temperature, ISP, EPMA, ZnO-?FeO?-Al2O3-CaO-SiO2, phase equilibria.

Jan 1, 2004

By Terry J. Close

From 1981-84, Bureau of Mines personnel examined and evaluated mines and prospects in the highly mineralized 62,400 acre Inyo Mountains U. S. Bureau of Land Management (BLM) Wilderness Study Area (WSA), located east of Lone Pine, CA. The 62,400 acres studied is the part of the 87,145 acre WSA designated as suitable prior to February 28, 1983. The WSA is underlain principally by quartz monzonite and quartz diorite that have intruded sedimentary and volcanic rocks. Three types of mineral deposits are present: 1) gold in fissure veins, 2) silver in fissure and replacement veins, and 3) talc in metasomatic lenses. Of the 84 nines, mills, and prospects examined, 54 are significant: 1) 5 in the intrusive rocks total about 4.4 million tons of inferred marginal gold reserves averaging 0.24 oz gold and 0.74 oz silver/ton; 2) three associated with intrusive-sedimentary rock contact zones total about 280,000 tons of inferred subeconomic silver resources averaging 7 oz silver/ton; 3) 27 gold and silver occurrences in the intrusive and sedimentary rocks total about 1.2 million tons of material in poorly defined bodies too small or low grade to be resources; 4) 15 gold and silver occurrences in the intrusive and sedimentary rocks are too poorly exposed to estimate tonnage and grade; and 5) four talc deposits along intrusive-sedimentary contact zones have inferred marginal reserves totaling about 640,000 tons. The marginal gold reserves at $450/oz might be profitably mined (reserve) at a gold price of about $600/oz and the subeconomic silver resources at a silver price in excess of about $27/oz. The marginal talc reserves might become minable at prices of about $50/ton and $80/ton for unprocessed and processed talc, respectively, after present supply sources are depleted. At most of the 54 significant mines and prospects, additional reserves or resources would likely be disclosed by trenching or drilling. Present in the WSA are 13 gold mills, numerous small pits and cuts, 270 underground workings totaling about 36,000 ft, and 80 mining benches totaling about 11,000 ft. Gold, silver, or talc were produced from most of the workings. A total of 1,561 lode and 18 placer samples were taken.

Jan 1, 1985

By Dana C. Reinke

Water well drillers are exposed to high levels of noise while working. NIOSH researchers have found that water well drillers are exposed to levels above 85dB (A) while performing certain tasks during a typical drilling job. Noise levels consistently over 85dB (A) during an 8–hour work shift are hazardous and can lead to hearing loss in workers. Finding ways to reduce noise exposure is difficult because of many factors. The work environment is constantly changing due to the location of jobs and environmental factors. The types of drill rigs required for drilling are expensive. Equipment can range from new to used (10 to 30+ years old). Drillers and owners can work together to prevent noise–induced hearing loss, and measures can be taken to reduce exposure to hazardous noise.[ ] Preventing hearing loss occurs through three stages. The first stage is removing noise from the source (i.e., drill rig). Various parts of a drill rig create noise besides the drilling rod. NIOSH researchers have examined noise levels of drill rigs. Some of the loudest parts of the drill rig include the compressor, engine, and cooling fan (Fig. 1). While removing the noise source from a worksite is ideal, the process would be expensive and difficult.[ ]

Jan 9, 2005

By Héctor Quispe

El presente trabajo señala la aplicacíón de las estrategias en Sistema de Gestión de la producción en la mina Raura, de forma que mejore su administración de flujo de recursos y actividades para lograr óptimos resultados con mayor productividad. Entre sus principales objetivos están: la determinación de los stándares de producción en tonelaje, leyes, costos y plazos, que hagan rentables los procesos de operación minera, la definición de sistemas standarizados que generen valor económico en cada uno de sus procesos. Asmismo, se realizó un diagnóstico previó que abarcó los procesos de geología, planeamiento, exploración, explotación, beneficio de minerales en planta concentradora, mantenimiento y proceso de comunicación gerencial. Los resultados y datos de este diagnóstico tiene como base la referencia para la evaluación y avance del proyecto.

Sep 13, 2001

By J. Werfling, J. R. Kiehl

SUMMARY: The effects of blasting on structures are assessed on the basis of the maximum amplitudes of the occuring vibration velocities. If the standard values in the German Standard DIN 4150 are not exceeded, damages to structures are not to be expected. The estimation of the maximum vibration amplitudes is usually based on experience or on emperical formulae. However, a comparison of expected with measured values shows that these estimations are not conservative, particulary in case of small distances between blasting locations and structures. More reliable predictions are possible on the basis of numerical analyses, which simulate the three-dimensional propagation of waves with consideration of the geomechanical and geometrical conditions. In addition to the expected velocities, these analyses also allow the determination of stresses resulting from dynamic loading. If the dynamic stresses are known, the effects of blasting on structures can be predicted. ZUSAMMENFASSUNG: Die Auswirkungen sprengbedingter Erschütterungen auf bauliche Anlagen werden in der Praxis auf der Grundlage der Maximalamplituden der auftretenden Schwinggeschwindigkeiten beurteilt. In der DIN 4150 werden Anhaltswerte angegeben, bei deren Einhaltung Schäden von Gebäuden nicht zu erwarten sind. Die Abschätzung dieser Schwing-geschwindigkeiten erfolgt meist auf der Grundlage von Erfahrungswerten oder empirischer Formeln. Der Vergleich der prognostizierten Werte mit Meßergebnissen zeigt jedoch, daß diese Ansätze insbesondere dann, wenn die Abstände zwischen den Sprengorten und den Gebäuden gering sind, nicht konservativ sind. Zuverlässigere Prognosen sind auf der Grundlage von numerischen Berechnungen möglich, in denen die räumliche Ausbreitung von Erschütterungen unter Berücksichtigung der geomechanischen und geometrischen Verhältnisse simuliert wird. Mit derartigen Berechnungen können die zu erwartenden Schwinggeschwindigkeiten und die aus der dynamischen Beanspruchung resultierenden Spannungen ermittelt werden. Dies ermöglicht Aussagen über die Auswirkungen sprengbedingter Erschütterungen auf Bauwerke. RÉSUMÉ: Les conséquences de vibrations résultantes d'explosions pour des bâtiments sont estimés dans la pratique à partir des amplitudes maximales des vitesses d'oscillation. Dans la norme allemande DIN 4150 des valeurs d'orientation sont données, avec l'observation desquelles de dommage à des bâtiments n'est pas à présumer. Ces vitesses d'oscillation sont estimés généralement à partir de valeurs d'expérience ou de formules empiriques. La comparaison des valeurs prédits avec des résultats de mesures montre cependant que ces hypothèses ne sont pas conservateurs, en particulier si les distances entre les lieux de sautage et les bâtiments sont petites. Des prédictions plus fiables sont possibles à partir de calculs numériques, dans lesquelles la dissipation spatiale de vibrations est simulée en considération de la situation géoméchanique et géométrique. Avec tels calculs les vitesses de vibration à présumer et les contraintes résultantes de l'effort dynamique peuvent être établies. Cela permet de constater sur les conséquences de vibrations résultantes d'explosions pour des bâtiments.

Jan 1, 2003

By S C. Dominy

This contribution examines the effect of feedstock sampling before the sorting stage of polyethylene terephtalate (PET) bottle recycling. Batches of waste PET bottles may contain non-PET bottles which need to be removed by sorting. Any residual presence of PVC is detrimental for the quality of products manufactured from recycled PET. The maximum tolerated concentration of PVC in cleaned PET is extremely low, which places high demands on the recovery of PVC achieved by sorting. To be confident of attaining the desired PET quality after sorting, acceptance sampling of truckloads of PET bottles may take place prior to sorting. It is shown that accounting for sampling uncertainty requires that the sorting process achieves a consistently high recovery of PVC bottles.CITATION:Glass, H J and Dominy, S C, 2017. Plastics recycling and sampling, in Proceedings Eighth World Conference on Sampling and Blending , pp 129–134 (The Australasian Institute of Mining and Metallurgy: Melbourne).

May 9, 2017

By Valery M. Paretsky

The effect of the degree of nickel oxide reduction and the reaction gas composition on the furnace productivity has been estimated by computations and the established relationship is in good agreement with the practical data obtained in the process of electric smelting at the Severonickel smelter. An increase in the reduction degree within a range of =0.65 - 0.9 results in an increase in the furnace productivity by 19% to 37% and in a decrease in the unit electric power requirement by 16% to 27% depending on the reaction gas composition. The agreement between the computed and practical data has confirmed that the decisive factor for the process of treatment of reduced nickel oxide in an electric-arc furnace under the given conditions is the specific heat absorption, which is dependent on the nickel oxide reduction degree and the reaction gas composition.

Jan 1, 2005