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By C. Musingwini, A. S. Nhleko

"Since the Global Financial Crisis (GFC) in mid-2008, capital has been more difficult to access. Mining projects must contend with projects from other industries for scarce capital. A decision to invest available capital in mineral projects requires that valuation be conducted to assess the expected return on the projects. The discounted cash flow (DCF) analysis is generally applied for the valuation of mining projects, whereby future cash flows are discounted to present value using an appropriate discount rate. The discount rate significantly affects the outcome of a valuation. Economic and finance theory provides tools to calculate discount rates. The discount rate must account for factors such as the risk and stage of development of the mineral project; hence the appropriate discount rate to utilize in a project is often a subject of debate.The discount rate is the weighted sum of the cost of debt and equity. There are several methods for determining the cost of equity. This study considers the commonly applied Capital Asset Pricing Model (CAPM) and Gordon’s Wealth Growth Model because of their simplicity and availability of parameters required to estimate the cost of equity. This study explores how differences in the cost of equity obtained by these two methods can be explained for a mining environment. Data for empirical analysis were collected from the I-Net Bridge, McGregor BFA, and Bloomberg databases. It was found that Gordon’s Wealth Growth Model provides better estimates of the cost of equity compared to the CAPM under depressed market conditions. Therefore, this research recommends that Gordon’s Wealth Growth Model be used to estimate the discount rates for mining projects during periods of depressed market conditions."

Jan 1, 2016

By F. Russo-Bello

TauTona Mine (the renamed Western Deep Levels East) is using a longwall mining method with stability pillars to extract the Carbon Leader Reef at a depth ranging from 2097 metres to 3456 metres below surface. Seismic activity and the complexity and hazards associated with negotiating geological features at great depth pose the most severe hazard to deep level gold mining in South Africa. It impacts negatively on safety and the profitability of the mining. The critical success factors in longwalling at depth are: ?Sound mining strategies and face shape control ?Ensuring follow behind development infrastructure is kept up to date ?Support system design as a strategy to effectively limit the serious effects of damaging seismicity. This paper describes the following: ?Implementation of the required mining strategies ?The evolution of a new stope support system and problems associated with its development and implementation. How this support system was adapted for the successful negotiation of major geological features with known seismic potential and problems encountered ?Current initiatives to optimize follow behind development infrastructure ?Current initiatives in designing a new gully support system and problems experienced with its development and implementation. Finally, this paper will deal with the way forward, briefly covering areas like the above-mentioned gully support system, the proposed phased introduction of technology, and the use of alternative mining layouts.

Jan 1, 2000

By G. van den Berg

Anglo Platinum has initiated a project to investigate hydraulic hoisting technology for platinum mines. Hydraulic hoisting systems are categorized as pumping, fluidizing feeder or displacement feeder systems. Positive displacement piston diaphragm pumps are most suitable for pumping systems but they require that the ore be milled prior to pumping. Fluidizing feeders are unsuitable for platinum ore applications due to the large percentage of fines in the ore. The three-chamber pipe displacement feeder has been most widely used for hydraulic hoisting and is the most suitable technology for platinum mines. Eight hydraulic hoisting applications covering pumping and displacement feeder technologies are reviewed. The key factors to be assessed in selecting a hydraulic hoisting system for a platinum mine are discussed. A typical platinum mine configuration will comprise an ore preparation plant (to produce -15 mm material through screening or crushing), motive water pump on surface, high pressure water pipeline from surface to underground, ore slurrification plant, three-chamber displacement feeder, and a high pressure slurry pipeline to surface. The water and slurry pipelines are housed in a purpose drilled borehole. A hydraulic hoisting system selection chart is presented. A 150 mm diameter system with a 25 MPa pressure rating is required to hoist 60 000 t/m from a depth of 1 200 m. Generic capital and operating costs are presented . A major potential advantage of hydraulic hoisting is that the fines, which contain a high percentage of PGMs, are captured underground and transported directly to the concentrator. Hydraulic hoisting technology is ideally suited to providing supplementary hoisting capacity to existing shafts that have reached the skip hoisting capacity limit. The main advantage for new shafts is the potential to significantly simplify underground rock handling and transportation. All hydraulic hoisting system components are proven. The only risk area is the wear rates of the valves and piping. Current estimates are based on gold ore. The business cases investigated show that the financial viability of the installations are not sensitive to wear rate. Hydraulic hoisting is technically feasible and financially attractive for platinum mines. Keywords: Hydraulic hoisting, slurry

Jan 1, 2004

By N. E. K. Schuttler

Experience with Mars pumping of underground water by N. E. K. SCHUTTLER (Visitor) As the result of a planned increase in production, Vaal Reefs Exploration & Mining Company Limited increased the hoisting capacity of their existing equipment to its fullest extent and installed Mars pumps and a washing plant. The layout of the installation is described, and details are given of the modifications made to overcome its weaknesses. Plans to change the present four-stage system to a seven-stage system are outlined.

Jan 3, 1977

By R. Hutchings

The paper reviews current understanding of the effect of ion implantation on the wear process, and the state-of-the-art of ion implantation as a commercially viable treatment to impart wear resistance. Ion implantation involves the firing of high-energy ions into the surface of a material, which modifies the surface properties and so causes a transition in the dominant wear mode. The process is best suited to specialized engineering applications involving critical dimensional tolerances or surface finishes, but has gained little industrial acceptance because of its poor reproducibility and the lack of a suitable method of inspection.

Jan 1, 1986

By L. J. Gardner

Ore pass systems play a critical role in moving broken rock from the workplace to surface, and the integrity of the ore pass excavations is crucial. Over the life of the mine, ore pass integrity deteriorates, which may eventually result in the ore pass no longer being fit for purpose. This paper presents several case studies of successful ore pass rehabilitation exercises.

Jan 1, 2006

Instability in rockpasses at deep levels often initiates as a result of stress induced fracturing of the rock on the walls of the pass. This may then progress to a stage at which the geological structure of the rock mass becomes dominant and permits large joint-defined blocks and slabs to become unstable. In this paper, a technique is described in which jointing parameters and their variabilities?orientations, spacings and lengths?are taken into account in estimating the extent of failure that may develop around a typical unsupported deep level gold mine rockpass. The results of this prediction are compared with the results obtained from a review of pass performance in the gold mining industry.

Jan 1, 2005

By R. H. Matjie, J. R. Bunt, C. A. Strydom

"A number of conventional and advanced analytical techniques (proximate and ultimate analysis, low-temperature oxygen-plasma ashing, X-ray diffraction, X-ray fluorescence spectrometry, coal petrography, and lightelement electron microprobe analysis) have been integrated and crosschecked to provide detailed characterization of coals from the Highveld coalfield in South Africa, as a basis for better understanding of the mineralogical and chemical properties of the individual coal sources that are blended as feedstocks for combustion and carbon conversion processes. The techniques included methods to quantify the abundance and composition of the mineral matter (minerals and non-mineral inorganic elements), and also the abundance and chemical composition of the individual macerals in the individual coals concerned.Kaolinite is the most abundant of the minerals in the coals studied, with lesser but still significant proportions of quartz, mica and/or illite, dolomite, calcite, and pyrite. Small but variable proportions of anatase, goyazite, and siderite are present in some coal samples. Electron microprobe analysis, based on a special configuration for light-element study, shows that the vitrinite contains less carbon and more oxygen, and has significantly higher concentrations of nitrogen and organic sulphur, than the inertinite macerals in the same samples. Minor proportions of organically-associated inorganic elements, including titanium, were also identified in some of the maceral components.A comprehensive knowledge of the minerals and non-mineral inorganic elements in the coals used for feedstock preparation, obtained by integration of data from these advanced analytical techniques with more conventional analyses, may be of benefit in understanding the processes that take place during coal utilization, and also in avoiding or ameliorating some of the operational and environmental problems that may occur in different sectors of the coal utilization industry."

Jan 1, 2016

By W van Drunick, S Naik

To date, Anglo Research has carried out several projects, based on the techniques developed in the AMIRA P9 (AMIRA International Limited), to develop comminution and flotation models for several Anglo Base Metals and, to a lesser degree, Anglo Platinum flotation plants. Plant optimization is thus achieved through steady-state sampling, model-fitting and simulation using the JK SimMet and JK SimFloat software packages. The surveys can vary depending on the needs of the plant/client. The survey can therefore include as little as a single piece of equipment, an entire milling/flotation circuit, or a complete circuit from primary comminution to final flotation concentrate (i.e. the ?integrated survey?). The presence of the AR team on-site usually precipitates in face-value observations that can lead to initial improvements. This stems from the knowledge-sharing on best practice that exists in parallel with the surveys. Numerous (reasonable) changes can then be simulated, thus indicating the optimization step most likely to result in the best efficiency improvements. The simulations can include changes in the flowsheet, ore characteristics, mill loads, grinding media size, change in grind, flotation residence time, air hold-up and several more. Plant surveys can result in process changes that provide the plant with either: higher plant tonnage, improved plant grind, additional flotation recovery and/or improved product grade. The additional benefit of performing an integrated plant survey is that the effects of an optimization change in the comminution circuit can be simulated using the flotation model. This paper describes a number of case studies where individual and integrated plant surveys were conducted by AR for Anglo Base Metals.

Jan 1, 2007

By A. McCracken

Probabilistic methods for assessing the reliability of engineering systems in mining are the way of the future. So agreed the delegates of a recent short course on the subject, entitled 'Reliability-based Approach in Mining engineering Design'. This was a very successful five-day technical course sponsored by The South African Institute of Mining and Metallurgy and held at Mintek from 7th to 11th March, 1988. The main lecturer for the course was Milton E. Har, Professor of Geotechnical Engineering at the School for Civil Engineering of Purdue University, Indiana, USA. Professor Har was ably assisted by Dr Dirk van Zyl, a former student. Science quiz Teams of pupils from 37 schools within a radius of 12 kilometres of the Council for Mineral Technology (Mintek) competed in a science quiz held by Mintek at its headquarters in Randburg on Tuesday, June 7th, 1988.

Jan 1, 1988

By Y. Hwang, C Kang

To understand the effect of thermal loading from HLW on the groundwater flow nearby, the coupling of TH in an equivalent porous medium is studied. Results indicate that under given conditions the alteration of groundwater flow by decay heat is localized phenomena. More comprehensive studies are underway for THM coupling. Zum Verstandnis fur die Wirkung der thermischen Belastung von HLW in der Nahe von Grundwasserstrom, ist die Verbindung von TH in den entsprechenden porigen Medium erarbeitet. Die Ergebnisse zeigen, dass unter vorgegebenen Bedingungen die Anderung von Grundwasserstrom durch Zerfallwarme lokalisiert wird. Zusatzliche umfassende Arbeiten sind fur die THM Kupplung auf dem Wege. Pour comprendre l'effet du chargement thermique de HLW sur l'écoulement d'eaux souterraines tout près, l'accouplement du TH dans un milieu poreux équivalent est étudié. Les résultats indiquent que dans des conditions données le changement d'écoulement d'eaux souterraines par la chaleur d'affaiblissement est des phénomènes localisés. Des études plus complètes sont en cours pour l'accouplement de THM.

Jan 1, 2003

COALTECH 2020 initiated a research project to provide the coal mining industry with a modelling tool to determine the expected types of subsidence, risks and the investment required in post-closure funds to cater for subsidence associated with bord and pillar mines. A detailed literature review was conducted to determine the most important parameters in calculating the cost associated with surface subsidence. A subsidence prediction model was developed to determine the likelihood of different types of subsidence. The study made use of current knowledge of failure mechanisms and its aim is to assist the industry and government in arriving at the most suitable arrangements when authorities require financial instruments to assure compliance with environmental regulations.

Jan 1, 2003

By J. A. Drummond

The duties and efficiencies of a number of main and auxiliary fans were determined by standard and thermal methods. Some observations on the effect of water and dirt accumulation on fan performance were made.

By S. Budavari, F. M. C. C. Vieira

For several decades, the deep, gold-bearing reefs of the Witwatersrand basin have been mined predominantly according to layouts characterised by longwalls with strike pillars to provide regional support. During the past few years, a new generation of mining layouts has been introduced. These layouts are based on the concept of grid-type, scattered mining with dip pillars for regional support. As the extraction of the gold reefs extends to depths below 3500 m, the hazards associated with mining at these ultra-depths are expected to increase to unacceptable levels. Therefore, the question arises as to, which of the currently applied mining layouts is most acceptable for the economic and safe extraction of an ultra-deep orebody. The purpose of this paper is to describe a research investigation carried out to evaluate the degree of acceptability, from the rock engineering view point, of four currently used mining layouts for application at a depth-range of between 3500 and 5000 m. Pendant plusieurs décades, les filons d’or profonds du bassin du Witwatersrand ont été exploités d’une manière prédominante selon des dispositions caractérisées par des longues tailles avec des piliers directionnels pour donner un support local. Les dernières années ont vu la naissance d’une nouvelle génération de dispositions de mine. Ces dispositions sont basées sur le concept d’extraction type grille, éparpillée, avec des piliers au pendage pour le support local. Comme l’extraction des filons d’or va à des profondeurs en dessous de 3500m, il faut s’attendre à ce que les risques associés à l’exploitation à ces profondeurs extrêmes atteignent des niveaux inacceptables. Par conséquent, la question se pose de savoir laquelle des dispositions de mine couramment utilisées est la plus acceptable pour l’extraction rentable et sans danger d’un gisement ultra profond. Le but de l’étude présente est de décrire les recherches exécutées pour évaluer le degré d’acceptabilité, du point de vue d’ingénierie de roche, de quatre dispositions de mine couramment utilisées pour application à un rayon de profondeur entre 3500 et 5000m. Die tiefen, goldträchtigen Riffs des Witwatersrandbeckens wurden über einige Jahrzehnte hindurch vorwiegend nach jenen Layouts abgebaut, die von Langfrontstreben mit Schlagpfeilern charakterisiert waren, um regionale Unterstützung zu gewährleisten. Während der letzten Jahre wurde eine neue Generation von Grubenlayouts eingeführt. Diese Layouts basieren auf dem Konzept der Rasterfeld-Art, gestreuter Bergbau mit Neigungspfeilern für regionale Unterstützung. Es kann erwartet werden, daß auf Grund der Tatsache, daß sich die Extraktion der Goldriffs auf Tiefen unterhalb 3500 m verlagert, die Gefahren, die mit dem Bergbau an diesen Ultratiefen verbunden sind, sich auf ein nicht annehmbares Niveau erhöhen. Folglich erhebt sich die Frage, welche der gegenwärtig angewendete Abbaulayouts für die ökonomische und sichere Extraktion eines ultra-tiefen Erzkörpers am annehmbarsten ist. Zweck dieser Arbeit ist es, eine durchgeführte Untersuchung zu beschreiben, die vom Gesichtspunkt der Gesteinstechnik gesehen, vier gegenwärtig angewandte Abbaulayouts für den Einsatz in einem Tiefenbereich zwischen 3.500 und 5.000 m evaluiert.

Jan 1, 2003

By R. W. O. Kersten

This paper describes the method used at Agnes Gold Mine in the calculation of pillar strengths, which involves a back-analysis type of approach. The results obtained there are comparable with those obtained by accepted formulae for pillar strength. It was found that a stress level of 70 MPa for the width of combined pillars (Le. crown and sill pillars) causes failure of the reef drives as well as the tops and bottoms of the stope side walls. As shrinkage stoping to depths of more than 650 m would result in very low percentage extractions, alternative methods of stoping will have to be investigated for these depths.

Jan 1, 1984

By E. Bakhtavar, R. Mikaeil, D. Khademi

"Fuzzy-weighted integer goal programming has been developed and used to select the most suitable site to construct a central processing plant for several adjacent small-scale dimension stone quarries, based on the most effective criteria. In the first step of mathematical modelling, the most important goals and decision variables were defined. Accordingly, an objective function was used in the model for minimizing the sum of undesired fuzzy-weighted deviations. Fuzzy weights were determined by a matrix of pairwise comparisons of various expert judgments in this field and the fuzzy geometric mean. The goal and systemic constraints were also modelled. The most suitable site for the construction of the plant was selected after solving the mathematical model in the ExcelR Solver add-in. The selected site had various advantages over the other sites, such as the shortest average distance to the quarries, the shortest distance to power access and workforce, and the lowest land price. IntroductionSelection of the most suitable site of a plant is one of the most important considerations when constructing an industrial project. A suitable site has a significant effect on a company's competitiveness in the market. Selecting a desirable location for constructing plants such as mineral processing facilities is an essential part of the economic planning that will enable a company to meet the needs of related upstream and downstream operations. These units are considered to be best built near the relevant mining sites because of technical difficulties, the cost of transporting minerals, and the traffic hazard caused by the movement of trucks transporting materials. Two main types of research using multiattribute decision-making models have been reported for selection of a processing plant site (Safari et al. 2010, 2012). In that research, the analytic hierarchy process (AHP) and fuzzy technique for order preference by similarity to ideal solution (TOPSIS) approach were applied to select the suitable locations for the mineral processing plants for phases 1 and 2 of Sangan iron ore mine."

Jan 1, 2017

By R. Pipeleers

Recent experience has shown that all underground workplaces in the Campine Coalfield in Belgium will require controlled cooling within three years. Considering the socio-economic and legal importance of the climatic problems underground, IREA has undertaken studies in forecasting the climate of future workplaces, planning the necessary cooling equipment and optimizing efficiency in the existing cooling equipment. These studies are being carried out using the climate forecasting program of Bergbau-Forschung. So far, the German model has been obliged to utilize manually measured data from a few workplaces in the Campine. As the model does not fit very well with these measurements, it has been thought necessary to' develop a system of continuous data acquisition and transmission. This system is being tested in the Beringen mine of the N.V. Kempense Steenkollenmijnen. In the first part of this paper the digital tranmission system is described; in the second the sensors used to collect the necessary climatic data are presented, and in the third some results are given.

Jan 1, 1987

By J. P. Hugo

Nuclear energy - its interactions with mining and metallurgy - PRESIDENTIAL ADDRESS given by J. P. Hugo Pr. Eng., B.Sc (Eng.) (Rand), Ph.D. (Sheffield) Energy is the life blood of the modern technological era in which we live and it was, I think, Benjamin Franklin who said that the manipulation of energy was the basis of all science and technology. This is perhaps an oversimplification, but there can be little doubt that our life today, and the improved standard of living we aspire to, are governed almost entirely by our ability to generate and manipulate energy. This ability has made it possible for Man - each specimen a feeble twentieth of a horsepower - to travel to the moon, to recover valuable minerals from the depths of the earth, to do arithmetic at unbelievable speed, to lessen the drudgery of manual labour. For these and virtually every aspect of our life we are dependent on energy from external sources. It is, therefore, not surprising that the per capita consumption of energy, and more particularly electricity, has become one of the most reliable criteria by which to measure the standard of living and technological advancement of a country.

Keywords: Pyrometallurgy, furnace, Lonmin, platinum, PGM, UG2 Lonmin, earlier than any other primary platinum producer, had to deal with the concentrating and smelting of UG2-rich ores and concentrates respectively. Smelting was performed at a fairly modest scale compared to its industry peers in the Platinum Group Metals (PGMs) industry, and was focused on smelting concentrates obtained through low mass pulls while still maintaining high recoveries at its concentrators. Lonmin gradually smelted larger quantities of UG2 concentrates. Initially two 2.3 MW Infurnco furnaces were commissioned in 1982, followed by three 5 MW circular 3-electrode Pyromet furnaces in 1991. Deep electrode immersions and moderately high hearth power densities were used in all the designs. Lonmin decided to continue with circular furnace technology when it planned its new high-intensity No. 1 Furnace. Neither Lonmin nor the technology supplier and EPCM company foresaw the challenges that scale-up would bring when applied to the smelting of UG2-rich concentrate blends. Superimposed on the high chromite content, was the low base-metal loading, mineralogical difficulties, and fine particle size that came with milling of all concentrates (especially UG2 and recycle materials within the smelter). Through a process of fundamental diagnoses of furnace run-outs and wear patterns observed during repairs, the main challenges operating this high-intensity furnace were identified as sulphur vapour corrosion of the copper coolers, uneven and unpredicted movements of refractory bricks with associated copper cooler lift and matte tap-block movement, the formation of three-phase ?mushy? zones, high refractory and tap-hole wear rates, uncertainty in matte level and associated insufficient matte buffer height, and high furnace operating temperatures. These factors seldom worked in isolation and will be explored in more detail in the paper. The variability in furnace feed characteristics led Lonmin to re-design Furnace No. 1, to invest in back-up furnace capacity, and to invest in improved monitoring and control. These improvements consisted of online and high-frequency off-line feed chemistry and mineralogy monitoring, online pressure monitoring of water-cooled circuits, an alternative matte liquid level measurement in the furnace, and electrode immersion estimation. Improvements were also made at the converters by installing and utilising optical spectral analysis of the converter flame to characterise converter behaviour and achieve the desired iron end-point for white matte. This paper also briefly discusses the current and future expansion plans, as well as ancillary operations at the smelter such as flue-gas handling and materials handling.

Jan 1, 2011

By J. Jacobs

The three-product cyclone was originally developed in Russia and is now extensively used in China. The cyclone has recently entered the South African coal industry, and with the obvious advantages that this item of process equipment offers our ever-evolving industry it is safe to assume that it will add value to dense medium circuits in South Africa. Some of the possible applications include: ? Producing multiple products using a single dense medium circuit. These can typically be a primary product with calorific value of 27.50 MJ/kg and a secondary (middling) product with a calorific value of 22 MJ/kg ? High-density separation with a low circulating medium density. Anglo Thermal Coal and Exxaro have pioneered the use of these units at Umlalazi and New Clydesdale respectively. Extensive test work has been performed at Umlalazi to determine the efficiency of the unit and to determine how it compares with the conventional DSM (Dutch School of Mines) cyclone. Some people in the coal industry were initially sceptical and expected the performance of the three-product cyclone to be inferior to that of the conventional dense medium cyclone. The results of the test work have, however, shown that the efficiency of the unit is comparable to that of the cyclones currently employed. A valid concern expressed is the control over the cut-point density of the second stage separation, and work is on-going to find the optimal way to control the secondary separation density. Theoretically, the secondary separation density can be manipulated by changing the orifices of the unit, especially the spigot of the secondary stage. This remains to be proven, and a series of tests is currently being planned. Whatever the result of these tests may be, the three-product cyclone definitely has a place in the South African coal processing industry as it offers a low OPEX and CAPEX solution for producing multiple products from a single circuit, as well as the ability to operate at very high separation densities, while making use of low-density circulating medium. Keywords dense medium separation, DSM, three-product cyclone, coal processing.

Nov 1, 2013