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Project-finance risk assessment is mature and approached systematically. Mining industry due diligence remains fragmented with specialists addressing different aspects of the project such as reserves/JORC, environmental impact, commodity market, even financial analysis/ modelling. Each professional has a natural tendency to believe that the risk factors they have examined are the key ones necessary to be reviewed, as if their review will stand in isolation from others in the way a project materialises. By first laying out the project risk categories and risk matrices, this paper examines the due diligence process with a keen eye to the risk assessment and overlap/interaction. Some cross fertilisation of due diligence techniques from other industry sectors is placed into the mining context. Six case studies are then presented with regards to due diligence features in each projectÆs feasibility review or financial information/ offering memorandum. A power case first shows the differences between the due diligence expectations of banks versus bond financings. Then some Australian and Indonesian mining development cases are analysed to see the due diligence learning points. Some of these were project/due diligence failures. The conclusion focuses on the value of a systematic risk assessment for project evaluation, all from the project-finance perspective.

Jan 1, 2007

The discovery since 1990 of four major orebodies in the Mt Isa Inlier - Century Zn-Pb, Osborne Cu-Au, Cannington Pb-Zn and Ernest Henry Cu-Au - only serves to enhance the already high stature of the Inlier in world mining importance. Currently the known mineral resources of the Inlier represent about 11 per cent of the world's Pb-Zn resources, five per cent of the world's Ag resources, and one per cent of the world's Cu resources. More can be expected to be added to these impressive figures given that two-thirds of the Inlier remains obscured by younger cover. Individually, projects such as Century and Cannington may ultimately achieve `world's best' status; Century's proposed production of 450 000 tpa of Zn metal would rank it close to number one with Cominco's expanded Red Dog project in Alaska. Cannington, with projected production of 660 tpa Ag, could become the world's biggest producer of silver. For comparison, Mt Isa produced 170 000 t of zinc metal and 335 t of silver in 1995. The apparent physical diversity of deposits in the Mt Isa Inlier is matched by a great diversity of opinion as to their origins. Because Ernest Henry is hosted by `porphyries', it is described by some as a porphyry copper deposit, despite mineralisation age possibly post-dating volcanic age by 200 Ma. Cannington Pb-Zn could be a Broken Hill-type (BHT) exhalitive deposit, or a late epigenetic replacement `regional skarn'. Mt Isa - Hilton Pb-Zn deposits appear to have experienced all deformational events and he syn-diagenetic in origin, or may have experienced little of the above and be epigenetic replacement deposits formed late in the major Isan orogeny, some 150 Ma after deposition.

Jan 1, 1996

By C Dick

Over the past three decades, mining operations have seen a significant increase in the use of contractors for mining, camp management and catering, recruitment, maintenance, power management, and commissioning. More recently contractors have been engaged for stores and logistics, OH&S, environmental, exploration, training etc. In some countries, such as South Africa, the trend is towards total outsourcing of all aspects of a mining operation which is coordinated by the owners’ management team.During the Global Financial Crisis (GFC) more Australian companies considered and/or took on this approach to recruiting for both projects and operations as mining companies were forced to rethink their corporate strategies as commodity prices plummeted to low levels, pushing operations and projects into potentially financially unviable territory.This paper discusses the labour recruitment, commissioning and operating strategy of Western Areas NL (WSA), with the assistance of Independent Metallurgical Operations Pty Ltd (IMO), as it progressed construction, commissioning and operation of the Cosmic Boy nickel concentrator at the Forrestania Nickel Project during and post GFC. The use of IMO contractors allowed Western Areas to mitigate labour cost risk during the uncertainty caused by the GFC and let their management team focus on the task of bringing a new operation into viable and profitable production.

Aug 8, 2011

By JSrvinen A, Yll÷ E

At Cominco's Zinc Refinery at Trail, British Columbia impurities are removed from zinc sulphate electrolyte by a two-stage purification process using zinc dust. Copper, cadmium and thallium are removed in the first stage whereas cobalt is removed in the second stage. Cobalt removal kinetics are affected by soluble antimony and copper additions to the electrolyte. This study was focused on the kinetics of cobalt removal by zinc powder cementation. Experimental variables included copper and antimony concentrations, pH and temperature. Common organic additives employed in zinc plants were studied to determine potential interactions with the cobalt removal process. Cementation products obtained from laboratory experiments and plant practice were studied using SEM. A number of significant results were obtained: 1. Copper and antimony ions were sustantially removed from solution during the early stages of the cementation reaction (within the first 15 minutes). Cobalt cementation kinetics are slow and follow a first order kinetic regime. 2. A drop in the cobalt removal rates can be correlated with a rise in the Eh of the slurry. 3. Ligninsulphonate, Percol 351 and animal glue at levels of 2 mg/L significantly impede cobalt cementation.

Jan 1, 1993

Any future developer of underground mining on the Bendigo goldfield will need to understand the unique geology and gold occurrence of this field. The development and sloping system employed will be primarily designed around these unique features. Modern techniques and equipment used in narrow vein mining will be applicable in this situation.The purpose of this paper is to examine the important geological features of the field as well as the known historical occurrences of the type of gold deposition in the ore bodies. This information will point to a system of development and extraction which will accommodate these features.

Jan 1, 1993

By H Guthrie, J Hodder, J Bain, S Durkin

Australian mines have traditionally relied on diesel powered vehicles to fulfil their light vehicle needs. There are many reasons for the resources industry to review its use of diesel-powered vehicles. The international industry has developed projects to explore the use of Battery Electric Vehicles (BEV) as a more sustainable alternative to traditional diesel-powered vehicles. While the technology for cost-effectively applying modern high-performance lithium-based batteries to the mining environment has existed for over a decade it is yet to be widespread throughout the industry. Through the collaboration of Safescape, 3ME Technology and Kirkland Lake Gold, with funding from Mining Equipment technology services (METS) Ignited, the project has focussed on advancing the Australian METS sector’s capability in the rapidly approaching implementation of BEV technology. This paper reports on the collaborative approach to develop a prototype vehicle; explains the selection criteria for the various components of the vehicle; and details the risk-based approach to developing a scalable product to replace existing underground light vehicle fleets. The prototype vehicle was tested underground at Kirkland Lake Gold’s Fosterville operations in Victoria beginning in October 2019. Reporting from these trials focusses on the key factors affecting underground operations. These include driveability, safety, charging and cycle times. Gathering data around energy consumption through normal daily duties enabled a model of energy consumption and charging requirements to be developed such that various applications of the electric vehicle can be considered against existing diesel-powered vehicles. This has provided insight into the impact on daily operations, and the way forward for large scale implementation.

Mar 15, 2021

By M Lynch, B White

The historic city of Charters Towers in North Queensland is underlain by an extensive labyrinth of old mine workings in a large number of flat lying, subparallel, main and cross-cutting cross reefs extending of the order of 5 km along strike and down to a depth of 700 m in parts. These old workings produced over 6.6 million ounces of gold at a grade of over one ounce to the tonne prior to closure in 1920.Citigold is progressing the development of a modern, high productivity, low cost new mine to extract extensions of these reefs as well as other as yet un-mined reefs. To do this it is changing the paradigm for operating in such circumstances. This paper first briefly reviews the setting for the development and then discusses the philosophies and concepts that Citigold is proposing to use, harnessing technology to create a mine that exemplifies more productive and safer mining based on operating in the digital age.The paper addresses how a modern approach is being applied to the planning of a mechanised, deep, narrow vein, hard rock gold mine under a city. It also describes briefly the successful æexperimentationÆ with longhole open stoping methods developed at the companyÆs small underground operation (the Imperial Mine) to the south of the city, which will also be expanded substantially as part of the Charters Towers Gold Project.The paper also addresses the development of new and/or modified technologies in the venture, with the objective of pursuing continuous and autonomous mining methods. The company is adopting a holistic systems approach, addressing people, process and technology in order to efficiently identify and locate the high-grade ore zones and then extract them effectively at a high grade by minimising waste development and haulage, dilution and energy consumption, and with minimal environmental impact.CITATION:Lynch, M and White, B, 2013. Brave new world autonomous mining systems, in Proceedings World Gold 2013 , pp 157-166 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 26, 2013

By K Osten, N Scagliotta, G Lane

Oceana Gold (New Zealand) Limited operates the Macraes Gold Mine near Dunedin on the South Island of New Zealand. The orebody is mineralogically complex and comparatively low grade requiring a series of unit processes and resulting in a relatively complex plant. As part of Oceana GoldÆs ongoing Business Improvement program, a concerted effort has been made to focus on operational efficiency. One aspect of this has been the efficient use of energy in the gold recovery process. A benchmarking process has been developed for the Macraes operation that includes comparison with other operating mines and theoretical design. Criteria for determining operational efficiency have been developed. While benchmarking is, in theory, a simple process, this paper looks at putting benchmarking into practice by catering for variability in ore and associate processing methods. The unit processes discussed include the comminution circuit, flotation plant, pressure oxidation plant and gold recovery circuits.

Jan 1, 2004

By Kato T, Eguchi M, Seino T, Itagaki K, Kimura T, Muto T, Shimizu T, Kobayashi T

Behaviour of minor elements in the dust collecting system connected with fluidized bed roaster for zinc concentrate was investigated by use of the bench scale experimental appara- tus. The dust collecting system was consisting of two dust chambers, hot electrostatic precip- itator, washing tower, mist electrostatic pre- cipitator, drying tower, absorption towers and potassium permanganate solution towers. Some volatile elements such as lead, cadmium and arsenic tend to concentrate in the fine calcine obtained in hot electrostatic precipitator especially in the case of the roasting with insufficient air supply. Special attention was paid to behaviour of mercury. In the roasting tests for plain zinc concentrate, it was considered that most mercury volatilizes at first as elemental vapour in the roaster, but with decrease in temperature of gas around a half of mercury forms compound, and both elemen- tal and compound forms of mercury were found in the gas stream. Elemental mercury is of course difficult to be trapped in the dust collecting system. To promote the compound formations, some additives for concentrate, such as selenium and halogens were effective, especially selenium of a few times equivalent to form HgSe repre- sented complete conversion of mercury from elemental to compound. To clarify the behaviour and removal mech- anism of mercury, various small scale laboratory tests were also carried out. It was confirmed that mercury sulfate formation is possible if temperature and flow rate are adjusted adequate- ly for gas stream consisting of 02-SO2-N2. To trap elemental mercury, various substances were tested, and excellent results were obtained with selenium. Satisfactory results were obtained with a selenium disc heated at 100 to 200¦C in a mercury containing gas stream. Also, applica- bility of scrubbing method with SeO2 solution was investigated, and the solution containing a few hundred ppm SeO2, 0.01 per cent additive and 6 per cent H2SO4 proved to be satisfactory.

Jan 1, 1980

By G Senanayake, K Hazarika

The demand for iron-ore is ever increasing with the industry directly employing 60 500 people in a range of highly skilled roles in Australia. In the year 2019, the global iron-ore production was 2.85 billion tonnes. It is estimated that each tonne of beneficiated iron ore produces 400 kg of tailings. The IOTs are fine, dense and stable crystalline material mainly composed of iron oxides, alumina and silica. The current and most applied method of iron-ore tailings (IOTs) disposal is using subaqueous disposal of tailings in dams. The footprint generated by a tailings dam is massive and requires constant monitoring due to the possibility of a failure making the operation and maintenance of tailings dam extremely expensive. This review briefly discusses the known causes of tailings dam failures, their impact to the environment and day-to-day human life and potential applications of IOTs. The increase in water content enhances the pressure on dam walls. This in turn increases the liquefaction potential of the tailings and reduces the overall strength of the dam making it more vulnerable to failure. Potential applications of IOTs are in paints, aggregates in construction materials and bricks. The reuse of IOTs reduce waste and generates further revenue facilitating a path towards a sustainable future for the industry.

Nov 8, 2021

People in economically developed societies demonstrate inherent human care for Earth and want to stop pollution. Yet efforts to clean Earth seem bogged in confusion from wildly contradictory and alarmist predictions of æclimate crisisÆ. Supposed experts openly disagree yet weÆre told thereÆs universal agreement humans are causing æthe end of life as we know itÆ. The turmoil combines with peopleÆs feelings of fear, guilt, anger, hopelessness and even resignation and apathy to trigger æclimate alarmÆ. The paper enables people to rediscover clarity, hope and support for Earth by understanding how climate alarm and confusion were created and how they actually increase pollution. Many people seem to think global warming is as serious as pollution and worry that questioning alarm will enable pollution. Yet theyÆre different. We need be even more concerned about climate alarm because history shows repeatedly that when buried by ignorance and panic real problems grow overwhelming. Environmental credibility is endangered by confused politicians and sensationalist media. When weÆre willing to re-evaluate what weÆve been told we replace fear and confusion with facts and freedom to identify opportunities. Combining this with practical understanding of human behaviour and leadership enables opportunities to be identified and action taken. The paper shows how confident, informed leadership leads and supports higher productivity and effective care for the natural environment.

Jan 1, 2009

By K Ionkov

The oolitic iron ore reserves in Lisakovsky, North Kazakhstan represent quite a challenging deposit both from a technological and from a resource point of view. The difficulties in processing such types of ore are connected with the extremely fine dissemination of phosphorus and gangue minerals inside the oolitic formations. The goethite crystals are cemented in their structure by aluminosilicates with quartz and other gangue minerals and dissemination is so fine that they are not separable by physical methods. The laboratory tests performed for dephosphorisation show that the combination of alkaline roasting followed by low intensity magnetic separation and acid leaching enables the obtaining of high grade iron concentrate. The magnetic separation performed ahead of leaching is effi cient as a means of buffering the high pH by washing out the soluble salts and the excess of base and after leaching facilitates the removal of secondary liberated gangue minerals in the non-magnetic fraction. As a consequence, phosphorous content is dropped to a more acceptable level for the ferrous metallurgy and iron grade and recovery reach 61.6 and 80.8 per cent respectively.

Jul 11, 2011

By M I. Pownceby, M A. Rhamdhani, S Palanisamy, D Fellicia, B Satritama, G A. Brooks, A Ang

Metal production have long been using carbon sources as both reducing agents and energy sources. Consequently, the global extractive metal sector contributes significantly to greenhouse gas emissions, accounting for approximately 9.5 per cent. Hydrogen gas offers as a promising ecofriendly alternative to carbon in metallurgical processes, serving as both a reductant and energy supplier with a by-product being only water vapour. However, the implementation of molecular hydrogen faces certain challenges related to the thermodynamics and kinetics of metal oxide reduction. In addressing these challenges, researchers have explored the application of hydrogen plasma, generated by subjecting molecular hydrogen to high energy to produce atomic, ionic and excited hydrogen species. Hydrogen plasma offers thermodynamic and kinetic advantages over molecular hydrogen and carbon-based reductants, exhibiting lower standard Gibbs free energy of reaction and activation energy. Therefore, hydrogen plasma can produce metal in fewer steps, process any oxide feed and feed size and even be used to refine metals. Despite these advantages, challenges exist in utilising hydrogen plasma in extractive metallurgy, including electricity costs, potential reverse reactions and industrial-scale implementation. This study provides a mini review of prior research on hydrogen plasma for metal oxides reduction, particularly iron oxide, as well as state-of-the-art techniques for its use in extractive metallurgy applications by mentioning several reactor types. Future prospects and scale-up possibilities of the hydrogen plasma in extractive metallurgy will also be presented.

Aug 21, 2024

Exploration for uranium in Australia commenced only during the 1940s, but in this short period has been very successful as one third of the world's low cost uranium reserves have been discovered in Australia. Total uranium exploration expenditure in Australia up to the end of 1983 was $A(1983) 554 million; this discovered 20 potentially economic deposits and official reserves of 560 000 tonnes of uranium oxide at an average cost of $1 per kg of U 0 . An exponential 8 eserves indicates distribution of uranium r that there could be 54 undiscovered uranium deposits in Australia, each with reserves of 20 000 tonnes U308 or more, in addition to smaller deposits. Using a constant uranium price of $A(1983) 79 per kg, no deposit is economic at a grade below 0.12 per cent U 08 or with reserves of less than 3 000 tonnes. Selecting deposits with reserves of 5 000 tonnes U 0g or more as prime exploration targets, only 39 per cent of discoveries will yield a real internal rate of return (IRR) of 10 per cent or more. After committing a minimum exploration budget of $10 million to this search, an explorer has one chance between 7 and 12 of discovering a deposit that will repay the exploration investment.

Jan 1, 1984

By E Macmillan

For any processing plant there will be deleterious elements or minerals which affect production or quality, and a strategy to predict their occurrence and mitigate their impact is required. An early objective of the Olympic Dam geometallurgy program was prediction of the acid consumption and gelling behaviour of the ore, which affects leach recovery, throughput and circuit availability. The geometallurgical test program measured the response of a wide range of ore types, and then relationships between mineralogy, metallurgy and chemistry were developed. Thus the drivers of acid consumption and triggers for gelling events could be described in ways that were meaningful to plant operations.To enable optimisation of the mine planning and ore blending processes, the parameters driving metallurgical response must be translated to the block model. Data support is critical in populating a block model. Assay information is easily obtained, but mineralogical and metallurgical information is more expensive and time consuming to collect. Hence population of a block model with mineralogical and metallurgical values using a conventional geostatistical approach is not always possible.An alternative approach employed at Olympic Dam was the development of a suite of assay-to-mineral algorithms. These algorithms were calibrated using all available mineralogical information, and this enabled the calculation of mineral abundances for more than 1.5 million assayed samples. Estimation of the minerals in the block model, and the generation of acid consumption values for each block could subsequently occur.The use of back-calculated mineralogy from assays as part of process model generation is an innovative tool which can be used for mine planning and optimisation and to ensure the plant does not receive any unwelcome surprises. Ultimately, one purpose of geometallurgy is to predict potential processing issues and their drivers so that these can be mitigated. A strategy to achieve this is outlined hereafter.

Sep 5, 2011

By H J. Ross, R K. Beatson, T J, W R. Fright

Traditional method of explicitly defining three-dimensional (3D) ore-waste and geological boundaries relies heavily on a time-consuming process of manual digitisation. This method of modelling can be best described as surface modelling, as complex surface geometry is built up by digitising points that lie on the surface. With the advent of fast 3D interpolation methods, however, construction of geological surfaces using volume functions is now a practical alternative to explicit modelling of surfaces. Unlike explicit modelling, surfaces contained in volume functions are not explicitly defined or digitised. Instead the existence of surfaces in the volume function is implicit, thus the process of modelling surfaces from volume function is called æimplicit modellingÆ. Based on recent advances in fast scattered data interpolation methods, implicit modelling first defines a continuous three-dimensional function that describes the grade or rock distribution. This volumetric function is interrogated for a grade value, or a geological surface, thus allowing the extraction of the 3D object to be automated and eliminating the need to manually digitise surfaces. Since the function is continuous throughout space and does not depend on a mesh or grid for its definition, the extracted geological or grade wireframes can be constructed at any desired resolution in the specific volume of interest. The volume modelling method can work on scattered drillhole data of any data density, including processing combined information from dense grade control data as well as sparse resource drilling. It offers distinct advantages over surface modelling, including: being able to wireframe geological objects that may take days to digitise in tens of minutes; substantial improvement in modelling accuracy; and the ability to generate conditional models rapidly allowing mining risks inherent in geological modelling to be examined.

Jan 1, 2003

By D Howe

The Athena gold deposit was discovered in 2007 by Gold Fields Australia Ltd, at the St Ives Gold Mine, 35 km southeast of Kambalda, Western Australia. Gold anomalism was identified in sheared Paringa Basalt as a result of a regional scale aircore drilling program, in association with geophysics. In the 18 months following discovery, the deposit was intensely drilled and by June 2009, it was announced that the Athena deposit contained an ore reserve of 1.7 Mt @ 5.6 g/t for 316 koz. This was followed by a feasibility study, and as a result mine development commenced in November 2009.The Athena mineralisation is hosted in a discrete, north-south striking, steep to moderately dipping shear zone within the southwest dipping Paringa Basalt. Vein intensity has a strong correlation to grade and vein type varies from early thin quartz-albite-sulfide (pyrite and/or pyrrhotite) shear parallel veins to strong brecciation and irregular veining with quartz-albite-actinolite-biotite-pyrrhotite infill. The geology preproduction process developed at the Argo mine was refined and improved following a business improvement project. The aim of the process is to construct detailed geological interpretations prior to development allowing informed mining decisions to be made. The process delivers significant cost savings and revenue enhancements.The development of macroscopic classification scheme was critical to determine ore or waste in the early phases of mining. The Style of Deformation, Alteration and Veining (SAV) Code was the result, and has been enhanced as greater geological knowledge is gained over time.

Aug 22, 2011

By Baker G

The detailed mineral composition of the lead-zinc ores at Captain's Flat was first studied in 1942 (Edwards, 1943).At that time the workings did not extend far below the 750ft. level. Since then development has been extended to the 1,390ft. level, and -at the request of the management of Lake George Mines Ltd., an examination of the ore from the deeper levels has been made as part of the research programme of the Mineragraphic Section of the Commonwealth Scientific and Industrial Research Organization.This account is. based on that examination (Mineragraphic Rept. No. ,537, C.S.I.R.O.)GENERAL GEOLOGYThe geology of the Lake George Mines has been described briefly in The Geology of Australian Ore Deposits (1953), and in much greater detail in an unpublished report by K. Glasson (1952). The area consists of fossiliferous Upper Ordovician sediments overlain by volcanics (Kohinoor VoJcanics), and by fossiliferous Silurian sediments. The volcanies comprise a series of· flows ranging in' composition from dacite to rhyolite, with interbedded tuft's and shale lenses.The region has been strongly folded. The regional strike is from 340° to 355°, and dips are from 75°W. to 75°E, A major syncline, pitching 200 N., occupies the centre of the area. The Kohinoor Volcanic'l outcrop as two bands which represent the east and west limbs of this syncline.The Volcanks in the western limb, with whIch the orebodies are associated, are more strongly sheared than those in the eastern limb.

Jan 1, 1953

By Rowlands N. J, Zimmermann D. O

The Engel Model search simulator is described with particular emphasis on preparation of input parameters. The computer has a "black box" role in the same way a telephone or radio is a "black box" in communications. A search technique (sensor) is selected and applied in two stages of'search, namely, reconnaissance and detailed. The model relies on knowing and quantifying the parameters of the target sought and the search technique; this is usually done by analogy studies from available literature and experience. The parameters are then balanced by feasibility studies on the search area. Case histories show that the study makes the user aware of what he is likely to find rather than what he wants or needs to find to be viable. Two case histories are presented: one for Mississippi Valley type lead- zinc deposits and another for stratiform copper. The first study showed particular benefits in the input stage and highlighted the fact that one could expect a lot of encouragement by way of interesting results but with little chance of finding the high-grade,

Jan 1, 1974

By D Craw

The Macraes gold deposit is located in a low angle NE dipping (~15¦) shear zone, the Hyde Macraes Shear Zone (HMSZ) cutting greenschist facies metasediments of the Otago Schist. The shear zone is host to large volumes of mineralised schist and relatively sparse quartz veins. Early in the development of this through going shear the schist experienced an episode of hydro fracturing and fluid redistribution. As a result, presently exposed schists within the Intrashear sequence are pervaded by localised swarms of quartz filled pure extension and extensional shear fractures hosting goldscheelite mineralization. The swarms comprise networks or æstockworksÆ of veins that strike NE, are subvertical and form subperpendicular to the shear zone fabric. Vein frequency across strike is typically ~1 m-1, with most veins five to ten centimetres thick and vertically continuous for up to ~20 m. Many of the veins show delicately banded internal textures that are parallel to the vein margins. These bands/lamina indicate incremental growth and are defined by a variation in grain size or alternatively by thin slivers of wallrock schist, though typically uncommon. The majority of veins are overprinted by a weak plastic deformation, although primary structures are largely preserved. This deformation has produced subgrain structures, migration of grain boundaries with sutured margins and undulose extinction of grains. These microstructural observations possibly indicate that temperatures were around 300¦C during stockwork vein formation. In general, the mode of brittle failure that developed the stockwork veins can be directly related to lithological variation. The geometry of stockwork veins indicate that local vertical shortening and extension occurred in the Intrashear sequence of the HMSZ synkinematically with thrusting. Localised extension was mainly parallel to the structural trend; that is, it took place perpendicular to the direction of inferred thrusting. The development of lateral ramps most likely gave rise to extension in parts of the shear zone during continuous shortening to form swarms of stockwork veins.

Jan 1, 2004