International Mining

Lundin studies Lombador at Neves Corvo, Coalspur’s Vista looks good, upgraded resource for Tampakan and Glencore/Xstrata takeover? And much, much more…..

International Mining — Fri, 03 Feb 2012 00:35:45 +0000

The latest International Mining Project News, out today (some 60 pages), has reports on 24 prefeasibility studies, 21 feasibility studies, 27 projects in development, one new mine that has gone into production, ten existing mines that are expanding, 12 merger/acquisition, name change announcements and many new appointments to new positions. The reports cover 36 gold projects, 18 copper, 10 each in silver and coal, eight in zinc, seven each in tin, titanium and vanadium, five lead and rare earths projects, four each in potash, molybdenum and tungsten, two nickel and two lithium projects, and one report each on PGMs, mineral sands, manganese, phosphate and graphite projects. This fortnightly project watch is a great way of keeping up to date with your peers - other mining companies, other consultants or other engineering companies. These issues build into a global mine project overview. If you are a supplier - it is full of potential sales leads. Xstrata Copper released a revised and upgraded mineral resource estimate for the Tampakan copper-gold project in the Philippines. In summary, the total estimated mineral resources (Measured, Indicated and Inferred) for the deposit has risen from 2,490 Mt at 0.6% Cu at a 0.3% Cu cutoff grade to 2,940 Mt at 0.51% Cu at a 0.2% Cu cutoff grade. This represents a tonnage increase of 18% over the previously reported October 2009 total resource estimates. As we go to press, there is much talk of a takeover of Xstrata by Glencore. Pan American Silver is adding a long-life, low-cost operating silver and gold mine with significant expansion potential to its portfolio with the acquisition of Minefinders. Pan American says this creates "the leading growth-oriented, geographically-diversified silver producer with combined market capitalisation of approximately $4 billion: The combined company will be one of the largest diversified silver mining companies by market capitalisation, providing enhanced capital markets scale and profile and increased strategic flexibility." The initial Future Underground Materials Handling Study for Lundin Mining's Neves-Corvo mining complex in southern Portugal identified and evaluated the underground materials handling and access options necessary to pursue the exploitation of the deeper Lombador copper/zinc resources as well as the Semblana copper deposit which are adjacent to the Neves-Corvo mine. The mine was examined in detail in IM January as part of the current Great Mines series on Lundin (Tenke Fungurume in March). Coalspur Mines plans the first phase of its Vista mine in Alberta, Canada, to produce 5.0 Mt/y of coal with first production scheduled for early 2015. Development of the first phase will include infrastructure components which will be capable of handling the additional production volumes from the second phase. The second phase is scheduled to begin construction in 2015 and reach full capacity of 11.2 Mt/y of marketable coal production in 2018. Scorpio Mining Corp intends to expand its 100% owned Nuestra Señora processing plant, located in Sinaloa, Mexico has been approved by its Board of Directors. Parviz Farsangi, President & CEO: "Our continued improvements and success in the areas of production, processing and financial strength have allowed us to focus on a major expansion project that is expected to increase our current production capacity by over 80%. Murray & Roberts Cementation says it has got off to a good start on the mining contract to develop Northam Platinum's new Booysendal North platinum mine - a greenfields underground UG2 project located in the Dwars Rivier valley on the eastern limb of the Bushveld Complex, South Africa, some 40 km due west of Mashishing (formally Lydenburg). The site is surrounded by established operations such as Mototolo and Two Rivers to the north and Everest to the southeast. African Minerals (AML) has successfully closed the book and pricing of $350 million of Convertible Bonds due 2017. The company intends to use the net proceeds primarily for the continued expansion of production at its Phase I Tonkolili iron ore operation to 20 Mt/y. Bellzone Mining provided a progress update on the Forécariah JV project in the Republic of Guinea, which remains on schedule to begin production and stockpiling of iron ore in Q1 of 2012. MDM Engineering Group, the minerals process and project management company focused on the mining industry, has been awarded the Engineering, Procurement and Construction Management (EPCM), for Banro Corp' Namoya Gold Project in the Democratic Republic of the Congo. Namoya Mining SARL, a wholly owned subsidiary of Banro, is developing the Namoya gold mine in the South Kivu and Maniema Provinces of the DRC, approximately 270 km south west of the town of Bukavu, the capital of South Kivu province. Full details on all these projects and information on and contacts for many, many more are to be found in the February 3 issue of International Mining Project News..... To receive the full report, subscriptions to this service can be registered and paid for on-line (SUBSCRIBE TO IM PROJECT NEWS BUTTTON), or contact emma@im-mining.com for a free trial copy.

Mining aviation safety innovations up for discussion at Indaba

International Mining — Fri, 03 Feb 2012 00:24:01 +0000

ExecuJet Africa is to attend next week's annual Mining Indaba in Cape Town from 5-9 February as sponsors and exhibitors for the first time, in an effort to raise the profile of safety developments in mining industry aviation. ExecuJet said it had "identified the event as a distinctive opportunity to raise the profile of services including private and corporate luxury charter specifically to the mining industry, but in addition, to emphasise the relevance of safety in Aviation and the fact that ExecuJet Africa provides a very efficient world class Emergency Response Plan with the associated facilities on site." In the last three years ExecuJet Africa states that it has become more valuable as an air transport partner to the mining industry by offering all the safety standards associated with VVIP flights to all types of mining charter services including one-off missions through to Fly-in/Fly-out (FIFO) missions in support of mine construction projects. The company states: "Mining is already a risky business, operating in harsh conditions in remote areas. It is important to reduce travel risk as much as possible by using a reputable, safety conscious aviation company knowledgeable of the region. This has naturally led to an increased focus on aviation safety standards. So we are very proud that ExecuJet can offer a safe way of chartering aircraft for the mining business." In the unfortunate case of an incident/accident, an approved ERP is activated whereby a team of individuals appointed to the ERP are alerted and man the ExecuJet Response Centre. In conjunction with Blake Emergency Services, ExecuJet is able to efficiently manage all aspects of the situation. "It is important to select an aviation operator who aspires to the same stringent safety policies that most mines do. ExecuJet rates among the best when it comes to safety with regular audits by international, independent Aviation Safety audit organisations such as Hart Aviation and ISBAO." said Chris Frost, Business Development Manager, Flight Operations ExecuJet Africa. The company highlighted several trends developing among mining companies where aviation safety is concerned. Many mining companies are closing down their own flight departments in favour of using third party aviation service providers to concentrate on mining. There has been an increase in safety awareness from a plethora of new aviation safety audit professionals and prospective suppliers are audited regularly and thoroughly by aviation consultants. Another trend is that mining companies are starting to discourage the practise of cross-hiring of aircraft and are developing their own aviation safety policies which exceed those of the national Civil Aviation Authorities where they operate. Comprehensive presentations will be hosted at the Westin Cape Town Arabella Quays Hotel during Mining Indaba from 6-8 February at selected times. The focus will be on safety in aviation as well as an overview on the benefits of business aviation and non-scheduled flights.

Lined Weba Chute Systems proving worth

International Mining — Fri, 03 Feb 2012 00:23:50 +0000

Weba Chute Systems reports that lined transfer points and chute systems designed and manufactured by the company are proving successful in a number of applications both locally and internationally. Applications include the handling of fine power station coal, synfuel where latex and pine tar binding agents have been added making the material stickier than normal and other difficult materials like limestone. Commenting on the decision to use liners in these applications, Weba says that this is generally a material specific application and is applied where the characteristics of the material being conveyed means that the internal angle of friction results in a bonding effect that will inhibit material flow or blockages will occur. "In these instances a lining material is selected that will reduce the amount of friction and facilitate the flow of the material through the chute," Mark Baller, managing director explains. "By applying the Weba Chute System principles we have been able to achieve excellent control of the material being conveyed and virtually eliminate blockages even with the stickiest materials." In one particular example, power station coal with a particle size of minus 25 mm and with an 80% fines content of minus 3 mm the material is being transferred without any hindrance. In addition, issues such as spillages and excessive dust have been addressed through the design of the actual transfer point. Belt loading is another area which is known to create problems in the movement of sticky material and it is essential that the outlet configuration is engineered to achieve optimum belt loading and minimal impact. Each Weba Lined Chute System is custom designed for the specific application taking into accounts factors such as belt width, belt speed, material sizes, shape and throughput. Easy access has been provided for inspection and maintenance purposes. Another advantage is that it does not require ongoing supervision, translating into a saving in manpower and related costs. Extensive experience and technical expertise coupled with applications knowledge has positioned Weba Chute Systems as a leader in its field, and design of systems is conducted using sophisticated 3D computer software. Data received from the customer is always verified, and in many instances Weba Chute Systems states that it can make cost saving recommendations to the customer.

The Great Mines of Petra Diamonds - reports coming up - production on the rise

International Mining — Fri, 03 Feb 2012 00:18:07 +0000

Petra Diamonds is to be the next subject of our Great Mines series. The company has come a long way in 15 years and has acquired some great mines along the way, like Finsch and Cullinan in South Africa and Williamson in Tanzania. If you are interested in providing input to these article, john@im-mining.com. The first, overview, article appears in the April issue. This is followed by Cullinan in May, Finsch in June and the Kimberley operations in July. Petra has just announced production and sales trading for the six months ended 31 December 2011, ahead of the publication of the Company's interim results for the Period on 28 February 2012. Highlights include production up 64% to 953,553 ct (H1 FY 2011: 582,102 ct): Production growth mainly due to the introduction of Finsch into the Group from 14 September 2011 Further production increase expected for H2 FY 2012 due to: o full six months' contribution from Finsch o two additional ROM treatment plants coming on stream (Kimberley Underground's Wesselton plant and the Williamson plant) Petra on track to reach its production target of over 2 Mct for FY 2012 Sales Revenue up 13% to $101.4 million (H1 FY 2011: $90.0 million) Carats sold up 16% to 678,772 ct (H1 FY 2011: 584,234 ct) Difference between carats produced and carats sold (ca. 275,000 ct) due to: o Finsch closing stock of ca. 195,000 ct (as the acquisition completed during the Period there was no opening stock) o the early sales cycle cut-off for all the South African mines due to the December holiday period which meant that closing stock was on average higher than June 2011 Significant carat sales increase expected for H2 mainly due to increased production from Finsch and net release of ca. 100,000 ct closing stock (end H1 vs end H2) Revenue growth affected by weaker prices during the Period; the market stabilised in late H1 and Petra expects this trend to continue in H2, though some volatility may be experienced due to global economic conditions Johan Dippenaar, Chief Executive Officer, commented: "Petra recorded strong production growth for the Period, mainly due to the acquisition of the Finsch mine. Revenue growth was affected by the weakening in rough diamond prices since July 2011, but the long-term outlook for the rough diamond market remains positive due to the growth in demand from emerging markets set against a flat or declining supply trend. Petra's position as London's largest quoted diamond mining group, with a premium listing on the Main Market of the London Stock Exchange, positions the Company to benefit from investors looking to gain exposure to these fundamentals. Petra expects to enter the FTSE 250 index in March 2012."

Sandvik celebrated 150 years on January 31

International Mining — Thu, 02 Feb 2012 00:56:30 +0000

January 31 was 150 years to the day since Göran Fredrik Göransson’s new company was formed in Sandviken, Sweden. At that time, Sandvik was first in the world to use the Bessemer process, which would revolutionise steel manufacturing. The company quickly became one of the world’s leaders in its industry. For 150 years, Sandvik has successfully operated and evolved by continuously being innovative and identifying new opportunities in the markets and through various shifts in technology - not least its recent rise to being a major producer of mining equipment, particularly underground. On 31 January, the company hoisted the anniversary flag and enjoyed a spectacular fireworks display in Sandviken. An anniversary issue of the Group magazine Meet Sandvik has been published in 14 languages and a book presenting the company’s successful development will be released in March. During the year, various events will be arranged by Sandvik companies worldwide.
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Deister Machine marks a century in mining business

International Mining — Thu, 02 Feb 2012 00:47:39 +0000

Deister Machine Company is celebrating its 100th anniversary in 2012 as a leading manufacturer of high-quality feeding, scalping and screening equipment for the aggregate, mining, coal, asphalt and recycling industries. Deister has remained a family-owned business since its founding in 1912. "We continue to build upon our century of service via solid engineering and customised screening solutions that allow today's aggregate producers to efficiently meet the most stringent specifications," said Deister Chairman and Co-CEO Irwin Deister Jr, who recently marked 60 years of service with the company. Irwin and Mark Deister, President and Co-CEO, represent the family's third generation at the company's helm. The company's dedication to the industry began with their grandfather, Emil Deister, the company's founder. In the early 1900s, Emil Deister took up the study of ore separation; and eventually, he would patent his own equipment, starting with a centrifugal separator that extracted gold from mercury amalgam, and continuing on to develop ore separating tables. His table is praised in Taggert's Handbook of Ore Dressing, the official textbook at many mining schools, as the first serious competition to the only other kind of ore separating table available at the time. Emil established his business in 1906 as the Deister Concentrator Company. In 1912, Emil sold his interests in Deister Concentrator Company and established Deister Machine Company. Deister Machine Company began manufacturing operations at 1933 East Wayne Street in Fort Wayne, Indiana, still its current location. The original building, a 5,500 square-foot plant, is still in active use amidst a total operation that today spans more than 360,000 square feet and four plant locations in Fort Wayne. Its line of equipment includes heavy-duty inclined screens, high-speed screens, horizontal screens, dewatering screens, and vibrating feeders and grizzlies. Additionally, Deister recently introduced its new Ultra-Fines Recovery System, as well as its new line of Deister Premium Portable Screening Plants. Deister equipment is in operation in all 50 states, Canada, and in many countries throughout Latin America, as well as Europe, Asia and Australia. According to its engineers, "Deister equipment is designed to integrate with all components of the production system, while delivering maximum performance and productivity." Some of the earlier models of Deister vibrating screens are still in operation due to their rugged construction and continued high efficiency.

Nationalisation of South African mines mines is not another form of BEE

International Mining — Thu, 02 Feb 2012 00:25:23 +0000

While it is generally agreed that a measure of further state involvement in the South African mining industry is inevitable, only time will tell what the nature and extent of that involvement will be. What is certain, however, is that the state should never view its potential involvement in mining as little more than a convenient means of fixing the past failings of black economic empowerment (BEE) in this sector. That's according to Shaun Teichner, Director at Werksmans Attorneys, who says that while BEE in mining hasn't fully achieved the broad-based empowerment objectives to which it initially aspired, it is no longer an unknown factor in the minds of prospective global investors and participants in the South African mining industry. In fact, Teichner argues that there is relatively good buy-in to BEE by foreign investors, on condition that the rules and requirements of empowerment are clearly spelt out and always fairly applied. "While BEE can still be a relatively curious concept to international mining investors, they have had the opportunity to see it in practice for some time now," he explains, "and in most cases recognise it, in principle, as a worthy objective with the potential to contribute to the long term development and stability of South Africa." But as Teichner points out, the looming spectre of nationalisation holds no such appeal, particularly given the lingering uncertainty about the form it will take and the extent of state involvement in South African mining that's likely to be imposed. "While nationalisation may have the potential, albeit limited, to be the vehicle through which to more broadly share benefits of the country's mineral wealth, historical evidence points to the fact that this type of approach is almost always accompanied by levels of financial, logistical and human resource demands that government is unable to sustain in the long term," Teichner points out, "not to mention the massive risk it presents to alienate foreign investors." According to Teichner BEE, despite its many shortcomings, has never posed these kinds of challenges for government because it essentially limits their involvement in redistributing the wealth of the private sector to drawing up and policing policies and regulations. "Nationalisation is a vastly different animal that will not only place a massive fiscal burden on government," he says, "but also significantly dilute its focus as a result of the contradictory goals its involvement in mining will undoubtedly cause." All that said Teichner is adamant that a decision regarding nationalisation needs to be taken, and taken quickly. "The only thing more devastating to our country's mining industry than the comprehensive nationalisation of its mines is the prospect of enduring uncertainty about whether this is actually on the cards," he says. And he is firmly of the opinion that until a decision is reached, and the scope of any proposed state involvement is made clear, the industry faces the risk of a steady decline in international investment in the industry. "While the general feeling within mining circles is that such full-scale nationalisation is unlikely," he concludes, "the mere fact that conjecture and assumption is still the order of the day regarding the future of SA mining is having a negative effect on its global competitiveness."

RZ Mask offers mineworker dust solution

International Mining — Thu, 02 Feb 2012 00:15:15 +0000

Made from neoprene material and equipped with an N99 Active Carbon filter, the new RZ Mask filters out 99.9% of dust and allergens while absorbing mine fumes and odours. The mask covers the nose and mouth to ensure that clean air is inhaled during work in active mines. The RZ Mask has already proven effective in construction and industrial work, and is effective against allergies by allowing the user to breathe completely clean air. The product comes in over 20 designs and colours. The product has been sold to a number of mines in Northern Minnesota and on the North American East Coast. The mask was originally designed for ATV riding and motocross sports, however, since the first product launch in 2011, it has seen application in mining, quarrying. agriculture, construction and a range of over 40 other uses. In mining and processing, it could see use in dry dusty conditions, in areas where ore crushing and ROM ore transport is carried out, and in downstream processing and smelting.

Mining Exploration Technology

International Mining — Wed, 01 Feb 2012 07:00:52 +0000

UDP platform in use at Pluton’s Irvine Island iron ore project, Western Australia

In 2011, exploration spending levels seem to have been fairly healthy according to available figures. In Australia, according to the Australian Bureau of Statistics, despite the imminent 22.5% mining tax, exploration spending figures for the September 2011 quarter for coal was up 12% to a new record high of A$227 million, while spending on iron ore exploration was up 9% to a new record high of A$235 million. The total number of metres drilled exploring for minerals climbed 28% in the year to September 2011. Total minerals exploration spending jumped 47%. Spending in New South Wales, Queensland and South Australia more than doubled. Exploration spending in Victoria jumped 56%, and spending in Western Australia 25%. However, the tax will be an important consideration for the industry going forward.

Elsewhere the picture is mixed. Recently released figures for northern Canada from Natural Resources Canada show that C$395.5 million was spent on mineral exploration in Nunavut in 2011; C$309.2 million was spent in the Yukon Territory, and C$81.1 million was spent in the Northwest Territories. In Nunavut and Yukon, mineral exploration companies are spending more than previously projected, while in the Northwest Territories, expenditures are lower than projected. The diamond mining industry is reaching a plateau and grassroots exploration investment is lower than it has been.

In late November 2011, Metals Economics Group (MEG) published its review of 2011 exploration activity, and estimated the total 2011 budget for nonferrous metals (excluding iron ore, aluminium, coal) exploration as having surged to $18.2 billion. Despite increased volatility in recent months, metals prices - the primary driver of exploration spending - remained relatively strong in 2011, say MEG. This in turn has given confidence to the industry and a resulting exploration budget increase by $6.1 billion, up 50% from 2010 has set a new alltime high. It was also noted that the proportion of overall exploration spending dedicated to early-stage and generative work has been fairly stable over the past three years; however, at just a third of overall allocations it is historically low. The decline in greenfield exploration has gone hand in hand with an upward trend in brownfield and near-mine exploration. However, the number of large-scale assets advancing to development has not risen proportionately due to this increased focus on existing projects, contributing to constraints on meaningful production increases for most metals.

The following gives an overview of some of the current solutions, strategies and products utilised in the mineral exploration, from helicopter surveys to new analyser technologies and case studies from real projects.

Aerial and ground survey

For covering large areas early on in an exploration project, aerial survey can be a very cost-effective tool. SkyTEM is a time-domain (TDEM) airborne geophysical system capable of delivering accurate high resolution maps of changes in geology from the very near surface to depths of hundreds of metres. The SkyTEM method is able to match the results of ground based TDEM systems and is widely employed by mineral exploration companies worldwide. High signal to noise, all sensors positioned on the carrier frame as close as possible to the target and the latest time gates available are some of the differences that contribute to the high quality of the data.

SkyTEM systems are available in three configurations based on the area of the transmitter loop, namely 100, 300 and 500 m2, and the most appropriate configuration for depth and resolution required can be selected. Preliminary data and 1D inversions can be delivered the day data is acquired. The SkyTEM101 is designed to map the very near surface to a depth of approximately 100 m. The system’s aerodynamic carrier frame reduces vibrations and system noise. Bias-free data is recorded at 8 microseconds (µsec) from the beginning of turn-off yielding resolution in the metre range. The system is also lightweight and useful for operating at high altitudes. In more gentle terrain the low weight allows for employment of less costly helicopter platforms that together with higher production speeds can result in more economical surveys. Helicopter cost is further reduced as there is no need for highaltitude calibration during the data collection phase as required by conventional systems.

The SkyTEM304 is employed for mineral as well as ground water exploration. The system is unique due to the placement of all sensors on the carrier frame minimising the distance from the ground and ensuring all data is accurately positioned. The system is based on a dualmoment transmitter, a null-position receiver coil configuration and a transmitter able to turn off current in the coil within microseconds. These unique features allow the TDEM system to provide detailed high resolution of resistive and near surface layers in combination with a depth of investigation in the range of 300 m as well as bias-free data from about 10 µsec to 10 milliseconds (ms) which is beyond that possible with all other systems currently, according to SkyTEM Surveys.

Flying a SkyTEM survey over Greenland

The newly developed SkyTEM508 has an increased transmitter moment of approximately 500,000 NAI with eight turns on a 500 m2 loop for depths of investigation of 500 m or more. The system was developed with a focus on achieving a very high signal to noise ratio at the late TDEM gate centre times. With the patented dual-moment transmitter the system is able to record data at late decay times - 15, 35 or even 60 ms and early gates from about 35 usec.

Aerial LiDAR (Light Detection and Ranging), digital image and hyperspectral surveys support mineral exploration project phases. Airborne LiDAR can efficiently cover large and remote areas to assess regional geomorphology to support mineral exploration project phases. LiDAR can effectively penetrate vegetation to generate bare earth models to support mineral exploration projects. This provides the means to identify surficial expressions of geological zones that are not visible in traditional photography. Detailed topographic data obtained by LiDAR surveys can help guide ground-based exploration projects making them more efficient and lowering environmental impact risks. Airborne remote sensing solutions can also be used in existing mines for brownfield exploration and geotechnical assessments. Engineers at Codelco Chuquicamata began experimenting with first generation GPS receivers in the 1990s, which was before there were enough GPS satellites to provide adequate and reliable coverage. Building on the initial use of ground-based GPS receivers, the group’s innovation took to the skies when Terra Remote Sensing carried out an airborne LiDAR survey over the main pit for the first time in the early 2000s. Codelco has since relied on airborne LiDAR and integrated digital imagery to gain a comprehensive and timely picture of the 3D characteristics in the Chuquicamata pit and of the surrounding infrastructure. When properly coordinated, airborne surveys are non-intrusive and have minimal impact on day-to-day operations. For a mine of this size, ground based surveys are not always a viable option for obtaining a complete picture of the entire pit. Additionally, LiDAR and digital imagery can be collected simultaneously from an airborne platform offering enhanced interpretability and data collection efficiency. Terra has flown the pit numerous times over the past decade, most recently in 2011. Having the ability to collect data over the entire pit in a short timeframe facilitates rapid data turn-around times, allowing pit engineers to conduct timely geotechnical assessments. These pit-wide assessments are then used to direct detailed ground based studies using terrestrial LiDAR systems operated by Codelco.

Different aerial surveys often require a different approach and all airborne data is not equal. Fixed wing platforms offer certain advantages such as greater fuel efficiency; a longer range and faster data collection, however, in situations where elevation changes are rapid such as large open pits (can be approximately 1 km in elevation over a 1.5km distance) or mountainous terrain using a fixed wing platform at an operationally safe altitude above ground level (flying distance from the top of the pit) means the sensors’ distance to ground can vary by more than a kilometre. This variability in sensor to ground distance causes inconsistencies in LiDAR point densities and pixel resolutions. Helicopters can help to mitigate these data inconsistencies as rotary wing platforms have the manoeuverability to ‘contour fly’ over an open pit.

Airborne LiDAR survey at Chuquicamata

While airborne remote sensing is an established method in generating geospatial data for directing early stage resource exploration, as costs and demands for higher resolution increase, the use of these larger fixed wing and helicopter-borne systems can become more problematic. This led South Africa’s EXIGE and its partners Geotec and others to develop two unique and innovative solutions that they believe are “years ahead of what is currently offered and available.” The solutions are known as GyroLAG and WASP, the former operational since 2010 and in the field and the latter about to join it. These are based on autogyros, which have been around since the late 1920s but it is only recently that one has been military standard (MI) spec-designed and certified for commercial rather than recreational use. Using this safe and reliable platform and integrating a variety of miniaturised sensor systems has resulted in the GyroLAG, an advanced high resolution survey system capable of accommodating up to seven
distinct remote sensing technologies - horizontal gradient magnetics, near infrared (NIR), gamma spectrometry, scalar gravity, photo and video, LiDAR and experimental Self Potential in a certified purpose-designed aircraft. It can achieve lower ground clearances (5 to 20 m) than those commonly used with airborne geophysics (60 to 100 m) resulting in a significant improvement in data content; a lower survey speed (75 to 120 km/h) captures significantly higher density data which is two to three times that of a fixed wing and about equal to or a little better than more costly helicopter systems. It also has a short take off and landing capability from a 50 m long dirt track or field, eliminating the need for an airstrip; and can be deployed to the survey site in a container or trailer, reducing mobilisation/demobilisation costs dramatically. The developers point to lower operational costs consuming an average of 21 l/h of unleaded petrol, at least five to ten times lower than the typical airborne platform. It is claimed to be inherently safe at operation in low levels, low speeds and in remote operations due to being in permanent autorotation making it impossible for the autogyro to go into a slow speed stall.

Bill Thuma at Geotec comments: “Specific applications of the GyroLAG are collecting magnetic and radiometric geophysical data, mapping detailed geology and geological features including lithology, structure, intrusions, alteration and in some instances potential economic mineral occurrences, LiDAR mapping power and pipe line corridors, assessing forest resources and agricultural conditions, surveying geo-hazards, recording both natural and man-made disasters, and delimiting property boundaries, infrastructure and geomorphic features.”

GyroLAG should allow much more flexibility and safety in aerial survey work

GyroLAG is operational and available worldwide for commercial contract services since 2010. WASP is a proven commercial-grade Unmanned Aerial Vehicle (UAV) specially equipped to conduct low level, low speed surveys using miniaturised sensor systems much like the GyroLAG. Programmed and operated by a ground ‘pilot’ or flown autonomously, the WASP can survey for up to two hours at a cruise speed of 90 km/h and a survey speed on the order of 30-50 km/h.

When equipped with a magnetometer it generates data at a sampling rate of 250 Hz. In terms of new exploration instrument development, a new model for resistivity and IP tomography was developed in 2011 by GF Instruments. The company has introduced a new standard version of its popular ARES instrument for resistivity and IP tomography equipped with an extra powerful transmitter (2000 Vp-p / 5A/ 850W). The unit can be supplied either from a 12 v battery or from a generator via AC/DC convertor, keeping full transmitter performance both for multi-electrode cable measurement and for VES. As a result, the easily portable ARES system can be used for heavy duty surveys and also under extra high or low ground resistances reaching significantly enhanced depth ranges of investigation and noise resistance. However, ARES remains a traditionally lightweight system and is installed in a compact waterproof casing.

The new ARES IP/resistivity tool from GF Instruments

In new technology development, Abitibi Geophysics has entered into an agreement with RMIT University to fund the development of the ARMIT B-field and dB/dt sensor for ground and borehole geophysical data acquisition. A threecomponent sensor was in field testing in early 2012 and a field test on an early prototype was conducted in Utah in August 2011. This showed that the ARMIT sensor, which operates at ambient temperatures, is quieter than published noise figures for High Temperature SQUID sensors and spheric noise. The ARMIT sensor is a three component, compact, rugged unit, which weighs only 3 kg, is low to the ground, and can be ‘firmly placed’ on the ground without the need for levelling.

During 2011 Abitibi Geophysics also expanded its operations outside Canada, carrying out borehole electromagnetics (EM) surveys in Portugal and Ireland and hole-to-hole 3D IP projects in Mexico, Honduras and Ghana. The company also entered into a joint venture with Terratec Geoservices of Heitersheim, Germany and completed sonic logging projects in Portugal and Ireland and an extensive physical properties logging project on a potash development property in Eritrea. Ground TDEM surveys were conducted in Ethiopia and gravity surveys in Mali and Ireland. Abitibi now offers a full suite of physical properties logging and borehole optical scanning services in North America.

In addition, the group is now offering borehole gravity surveys for mineral exploration using the Scintrex Gravilog slim-hole gravity probe. The importance of borehole gravity is its ability to provide diagnostic mapping of density variations around a borehole. This means that any electromagnetic in-hole or off-hole anomaly can be tested to determine if there is a corresponding volume of high density material. Abitibi told IM: “The prudent use of borehole gravity will save exploration companies money and time. Abitibi Geophysics with partner Terratec Geoservices now provides borehole gravity surveys in Europe and Africa.”

Minor metals/REE case study - SRK Exploration Services

SRK ES conducted a helicopter based regional sampling and geophysics program

SRK Exploration Services (ES) was commissioned in 2010 by Australian explorer Ram Resources to assist with the review and acquisition of the Motzfeldt tantalum-niobium project in South Greenland. SRK ES undertook a detailed assessment and due diligence on the data available for this project, thought to be one of the world’s largest occurrences of Ta-Nb hosted in altered syenites. Motzfeldt is part of the Gardar Alkaline Province, located in a remote and mountainous sub-Arctic area with access possible only by helicopter. The project was previously explored by Angus & Ross.

In the summer of 2010, SRK ES mobilised an Arctic-experienced team to undertake a drilling, trenching and sampling programme that highlighted the limited nature of previous exploration, expanded known mineralisation considerably and identified significant REE mineralisation that had previously been overlooked. Further exploration including drilling, surface sampling and geological mapping was completed in 2011. Some of the highlights from recent drilling include 192.5 m at 2,210 ppm Nb2O5, 275 ppm Ta2O5 and 0.3% total Rare Earth Oxides. These grades are comparable with previous drill results on the project, and yet have expanded the drilled strike length to 600 m in length and around 250 m in width. Surface sampling suggests that the total potential strike length could be around 1.5 km.

Ram Resources then acquired a much larger (568 km2) exploration licence in 2011, surrounding the Motzfeldt project. Following a target generation exercise, SRK ES designed and implemented an intensive helicopter-based regional sampling and geophysical programme over this licence. This resulted in the identification of four new areas of Ta-Nb-REE mineralisation in a range of geological settings. Two of these are very significant and potentially represent targets with similar grades and covering similar areas to Motzfeldt itself. One of them, the Voskop target, is also relatively enriched in REEs and is located such that it could be developed alongside a future mine at Motzfeldt.

SRK ES also designed specific sampling, assaying and quality control procedures in cooperation with a range of laboratories to best assess what are very complex elements and matrix styles in the most efficient manner. For regional grassroots exploration, this included field preparation of samples and analysis with a portable XRF. This was key to the identification of new exploration targets during the field season and allowed for immediate follow-up work without the lengthy wait for laboratory results.

SRK Consulting (UK), working alongside SRK ES, will soon start work on the first Inferred Resource for the project. Further drilling is planned for 2012 to expand this potential resource and to further investigate the new regional exploration targets identified in 2011. Ram Resources is a small company with limited in-house geological expertise. By working with SRK ES, they benefit from the services of an experienced multi-disciplinary team that has enhanced the understanding of this unique and challenging geological region. SRK ES is also now registered on the Central Business Register in Greenland. This is a requirement for any company that works on behalf of a licence holder in Greenland.

Drilling and mobility

Accessing new exploration markets is important in today’s environment. Global exploration products major Sandvik and Cortech have signed an agreement under which Cortech will distribute Sandvik exploration tooling (RC and coring drill rods, bits, wireline and exploration products) and will be the agent in China for Sandvik exploration drill rigs. A collaboration agreement was also signed under which the two companies will utilise commercial and technical synergies of both companies. This is the first stage of planned long-term commercial and technical cooperation in many fields, including joint R&D, manufacturing and sales. Cortech is the largest manufacturer of fully hydraulic modern exploration drill rigs in China. Sandvik and Cortech are now actively working to formalise the alliance and collaboration that will focus on R&D, manufacturing and marketing. The statement said: “This alliance will allow clients to enjoy better service and more advanced equipment and tooling from both companies. The close cooperation between Sandvik and Cortech will allow both parties to utilise their resources and networks for the benefit of the global exploration drilling industry.”

Atlas Copco has brought several new products to the market, including the new Christensen CT20 core drilling rig that replaces the Christensen CS3001 and Christensen CS4002. The CT20 is now the most powerful rig in the Atlas range but remains easy to operate. This rig also has a new feed system that will further enhance the high productivity. The CT20 has the drill capacity of 2,450 m and has a newly designed control panel is very easy to use with multiple automated functions.

Heart of the Atlas Copco Excore system showing patented transition system between surface and pump in applications and patented automatically engaging safety mechanism

The group has also been seeing success with its new Excore line of ITH drilling tools. Service de Forage Orbit-Garant Drilling, one of the largest Canadian-based drilling companies, is a customer for the new solution, which introduces a newly configured head assembly and improved safety overshot to its fleet of drilling rigs. The head assembly is adaptable for both surface and underground rigs, and the improved safety overshot features an automatic mechanism that doesn’t need to be manually engaged by the drilling crew. “They saw the problems that we were facing with the old technology and they came up with solutions,” said Jacques Proulx, Service de Orbit Garant’s Operation General Manager. Service de Forage Orbit Garant operates 185 drills and employs approximately 900 employees throughout its international drilling operations. The company was contending with delays and downtime due to mix-ups at job sites between parts for underground and surface applications. With Excore, it is now able to use the same parts for both applications. The new head, features a change out of the two seals from surface to underground, resulting in less wear on parts, fewer repairs and reduced downtime. The back end never needs any maintenance, and its design makes it less complicated to fix. The company has used the Excore multi use head assembly for both surface and underground applications, drilling more than 12,000 m in both applications without having to make any repairs or change any parts. The new auto-safe overshot, which is automatic and doesn’t need to be engaged manually by the drilling crew, is not only far safer but more efficient. This is because the process of retrieving the core doesn’t have to stop while pulling the inner tube.

Excore inner tube assembly about to be sent back for another drill run after 1,200 m of use

For a number of years, the virtues of sonic drilling versus other methods have been becoming more widely known in mineral exploration. The main supplier of the technology and equipment, Boart Longyear has now taken a major step by offering sonic drilling rigs on the open market, which were previously proprietary to their Drilling Services division. IM Editor Paul Moore spoke exclusively to Kevin Tomaszewski, Director of Global Product Management and Marketing Communications at the company, about this development. In terms of its application versus other methods, he commented: “Sonic drilling is an excellent technique for mineral exploration, environmental and infrastructure drilling in unconsolidated and soft ground conditions. Whereas these are often chronic problems for other drilling methods, sonic drilling frequently delivers exceptional core recovery, maintaining sample integrity. As the preferred method when there are concerns with using fluids, sonic technology can be used effectively to drill heap leach pads, acquire bulk samples, drill in mine dumps and difficult environmental drilling.” There is also a market for sonic drilling in precollaring work, particularly where there is deep, dense overburden that overlays ore bodies. Sonic technology can penetrate these formations faster, and even provide valuable information, before switching to another method like diamond coring.

In terms of why Boart Longyear has chosen this juncture to make the equipment available, the company states that it strives to always bring the best technology to the market: “Over the years, our customers have inquired about the drills as a clean, undeviated alternative to other drilling methods. As an integrated drilling company, we’ve thoroughly tested sonic technology in the field in multiple applications with our Drilling Services division. Consequently, our LS600 sonic drill rig is the culmination of nearly 20 years of in-field experience. We’re going to be offering sonic technology in an effort to provide solutions for all drilling applications, and we’re confident this will be another valuable method for our customers.”

The LS600 sonic rig will feature a pneumatic isolation system inside the head, preventing resonant energy from transmitting to the drill rig. This directs the maximum amount of energy down the drill string to the face of the bit for improved penetration rates. Casing will be offered in diameters of 4.75 in to 12 in and core barrels of 3.75 in to 10.5 in while the drill rods will be 3.5 in and come in upset and standard diameters. A full line of bits, shoes, tooling and accessories will complement the LS600 rig, including Boart’s patented Clam Shell drill rod management system. The LS600 is capable of a drilling depth of up to 182 m and a maximum hole width of 12 in.

The LS600 sonic drilling rig can deliver results in conditions where other equipment fails

Responding to the increasing demand for deeper holes, Ingetrol is boosting its capacities on several of its models in 2012 including the Explorer Plus MD4, Explorer 1500 and Explorer 2500, as well as introducing the Explorer 1200. The internationally recognised portable rig Explorer Plus MD4 will double its hydraulic capacity while maintaining its maximum module weights of 250 kg. Featuring a belt-driven H Chuck with synchronisation, the Explorer Plus MD4 will now be able to deliver depths of up to 900 m in Ø NW/L and 600 m in Ø HW/L. The first of these improved rigs was due to be delivered in Mexico in February 2012.

Ingetrol’s Explorer 1500, ideally mounted on a crawler or truck, is also more powerful with a 236 hp turbo diesel engine and a chain-driven P Chuck, reaching depths of up to 1,100 m in Ø NW/L, 750 m in Ø HW/L and 500 m in Ø PW/L. Furthermore the Explorer 2500 will now feature a 275 hp turbo diesel motor and a gear-driven P Chuck, to drill up to 2,300 m. in Ø N W/L, 1,500 m. in Ø H W/L and 1,050 m. in Ø P W/L. The Explorer 2500 is a multi-purpose rig that in addition to diamond core drilling, can perform reverse circulation drilling. Finally for those not requiring man portability or very deep holes, Ingetrol is offering the new Explorer 1200D, featuring a chain-driven P Chuck and a 160 hp turbo diesel motor, and reaching depths of up to 700 m in Ø N W/L, 500 m in Ø HW/L and 300 m in Ø PW/L.

In tools and rig operations developments, Fordia has just launched its new patent-pending underground drilling system; the OWL Self-Lock Underground. This new coring device benefits from the success of the OWL Self-Lock latching mechanism, already proven to help avoid mislatches in surface drilling conditions. The main feature of this new underground head assembly is its simpler mechanism and design, greatly lowering the amount of parts needed and significantly reducing inventory and maintenance costs. This new head travels faster within the drill string due to reduced drag, and can also be more safely engaged in the outer tube, therefore saving precious uptime at every run, and providing drillers with a safer working environment. The company told IM: “For companies drilling in both surface and underground conditions, this head also features another critical time-saving opportunity. A very simple conversion allows the drilling company to switch a conventional OWL Self-Lock head into an Underground one from which considerable savings on inventory management can be reached.” The new OWL Self-Lock Underground head assembly fits on standard coring systems and requires no change to the actual drilling set-ups to correct the core barrel’s length (adaptor coupling), eliminating potential mistakes as well as many conversion headaches.

One of the new frontiers of mineral exploration is the seabed, to date overshadowed by the oil industry but in minerals terms now more in the limelight. Trans-Tasman Resources (TTR), in partnership with New Zealand Diving and Salvage (NZDS) has developed patented marine deep drilling technology to manufacture drilling rigs capable of taking 60 m seabed samples using RC, diamond coring or rock coring technology. CEO Paul Berend said existing coring equipment was cumbersome and ineffective in the iron sandrich sediments off the west coast of New Zealand’s North Island. “Our solution was to develop a technology that could be operated from the very compact vessels operated by NZDS in a turbulent marine environment. There were three key requirements. The first was that the rig had to be specifically for mineral resource definition in compliance with JORC guidelines, secondly it was essential that it was very quick to deploy and retrieve, even in rough seas, and finally it had to be low cost.” The technology has been in use for two years, and all requirements have been met, with two JORC resource estimates reported.

A schematic of the TTR seafloor mining concept

The most recent, in August 2011, defined an initial mineral resource equivalent to 200 Mt of concentrate grading 60% Fe in weight. This mineral resource is compliant with JORC guidelines and defined by Golders Associates on the basis of drilling campaigns undertaken with the new ultra-low cost drilling technologies described. Paul Berend says TTR and NZDS believe the technical solutions developed could substantially reduce mineral exploration costs, not just for iron sands, but for a whole range of minerals, from gold to phosphates and mineral sands. TTR is now in the process of offshore drilling operations using medium (9 m seabed samples) and deep drilling (60 m seabed samples) and its mineral resource is expected to increase.

TTR is a New Zealand company, established in 2007 to explore, assess and develop the potential of the rich offshore iron-sand deposits off the west coast of New Zealand. The company believes there is a window of opportunity for New Zealand to become a significant supplier of quality vanadium-titanomagnetite concentrate to Asian steel mills.

Oil shale case study - SRK Exploration Services

Drill core analysis during Attarat Um Ghudran oil shale exploration work

The Attarat Um Ghudran oil shale deposit is one of the largest oil shale deposits currently known in Jordan. The oil shale seam with a maximum thickness of 90 m is buried below up to 100 m of overburden material that gives a favourable stripping ratio but still represents a costly exploration exercise. Jordan Oil Shale Energy company (JOSE), the subsidiary of Estonia’s Eesti Energia has been studying the deposit for the last four years with the ultimate aim of developing an oil shale fired power project and synthetic crude oil facility. Eesti Energia is the largest oil shale to energy company in the world.

JOSE, along with SRK ES, the University of Tartu, the Tallinn University of Technology and other partners have spent the last year assessing the south-eastern block of their licence area in an attempt to define in excess of 600 Mt of material at a heating value of 5.5 MJ/kg to source a power production project for a minimum of 30 years. To achieve this aim an integrated exploration approach was required that would push the current boundaries of geological understanding. This involved core and open hole drilling, careful geological mapping and understanding of lithologies, seismic profiling, hydrogeological and geotechnical analysis. At the heart of the successful exploration programme was a robust understanding of the sequence stratigraphy and subsequent alteration and digenesis of the Late Cretaceous Muwaqqar Formation and its physical and chemical variability, vertically and laterally.

Central Jordan is located close to the Dead Sea Transform Fault System and, coupled with the apparent loss of oil shale in some historical drill holes within shallow wadi systems, SRK ES proposed a series of geophysical surveys to understand the tectonics of the region to supplement the direct drilling. Shallow seismic along with downhole gamma logging was found to be of most benefit and helped to define a thicker oil shale unit than predicted, deformed by north east trending normal faulting and began to outline the distinct internal layering of the oil shale seams.

This layering was further investigated through careful geological logging and portable XRF analysis until a clear predictable stratigraphy was defined that could be modelled. This involved five discrete oil shale units numbered A through E, separated by chemically distinct barren dolomitic limestone units. The recognition of these units, the presence of various digenesis within certain units, along with the identification of an increased of silica/chert input with depth will add to the accurate modelling of this stratigraphy for resource, mine planning and future blending schedule purposes across both power and oil project sites.

This understanding also allowed for an important observation; a proportion of the overlying material, originally classified as the upper MCM Formation, was in fact heavily weathered oil shale of the uppermost units, downgraded by the removal of organic matter. This should aid in future studies and may exist as an exploration potential when assessing less deeply weathered regions.

An understanding of the physical and chemical variability of the oil shale was reached through the re-logging of historical drill holes and the collection of nearly 9,800 m of new drilling, from which 6,600 m has been drilled with cull core. Sufficient data quantity and quality was ensured by drill programmes designed using Fischer assay variography and statistics from historical data along with the implementation of a careful exploration management systems and Competent Person supervision.

SRK in association with Dohmen, Herzog & Partner are currently in the process of defining JOSE’s first JORC compliant Mineral Resource estimate. This resource, coupled with the knowledge gained from an integrated exploration programme drawing upon new interpretation and adapted techniques, now aims to target upgraded resources and additional material toward a new power generation and oil retort project in the heart of the Middle East.

PhotoSat is now offering a drill hole collar coordinate mapping service

As stated, remote operations in poorly mapped areas is a challenge for mineral exploration groups. PhotoSat has developed a new drill hole collar coordinate mapping service designed for mining companies exploring in the developing world. When mining companies construct white crosses of painted stones or other materials, centred on their drill hole collars, PhotoSat can provide the companies with highly accurate and verifiable drill hole collar coordinates using high resolution stereo satellite photos. This drill collar mapping service has been developed for mining projects in the developing world where there is often local labour readily available to construct white stone crosses over the drill collars, while competent surveying is frequently costly and difficult to obtain.This new drill hole coordinate mapping service uses PhotoSat’s highly accurate, proprietary, stereo satellite elevation mapping process. “We developed the drill hole collar mapping service in response to a strong industry need for an accurate and verifiable process to establish drill hole collar coordinates on mining exploration projects in the developing world,” says PhotoSat President Gerry Mitchell. “For several years many of our customers have been struggling to confirm the coordinates of their drill hole collars on some of their remote projects. On some of these projects the companies have employed several different teams of surveyors before achieving a consistent set of drill hole collar coordinates. Sometimes these surveying problems have caused serious and costly delays in the production of 43-101 reserve estimates and feasibility studies, delaying company financing. We have developed our stereo satellite drill hole collar coordinate mapping service to help solve this problem.” PhotoSat is a team of geophysicists and associated geoscientists specialising in the computer processing of high definition elevation data from stereo satellite photos.

In Australia, Pluton Resources has completed its first commercial hire agreement for two company-patented Universal Drilling Platforms. The UDP is a modular platform that, when fully assembled, has a ground disturbance of less than 5 m2, much less than traditional exploration equipment. A combination of a turntable with adjustable legs allows optimum orientation of the UDP to the land surface yeteasy reorientation of the drilling machinery to drill in any single or multiple drilling directions. This reduces the time and cost to the explorer in locating and reorienting the drill rig. The UDP can also be rotated by hand, allowing for safe reorientation of machinery without the need for extra equipment. The platform was developed to deal with the challenges of drilling on steep slopes and on uncleared land. It sits above the ground on hydraulic legs so it can operate on the side of hills without having to cut benches into the ground.

The drilling platforms were hired to Winmax Drilling to complete a two hole program near Koolyanobbing in Western Australia for a Canadian-listed junior exploration company. The site was sensitive due to priority listed flora including grasses and grevilleas that generally only occur on the target iron formations. Winmax was awarded the contract because of the low environmental impact of the drill platforms and the ability to work on a slope with minimal ground disturbance (<5 m2). No site excavations apart from the four footings are required to prepare a drilling platform and all equipment was mobilised by helicopter. The drill sites were located on approximately 20° slopes and 300 m apart with each drilling platform providing safe working conditions on the remote site. Pluton Managing Director Tony Schoer said: “Although the first hire agreements have currently yielded a modest return of approximately A$25,000 for the drilling platforms, it is pleasing that they are versatile enough to be used on other exploration sites with environmental or heritage sensitivities. Several other companies continue to show interest in our patented drill platform”. Pluton Resources has also entered a commercial licensing agreement with Marathon Resources to use a UDP in the Arkaroola region of South Australia.

Mobility for staff and lighter equipment is just as important as getting rigs on site and in this area, specialist vehicles can be used. The new 8×8 Centaur from off-road specialist ARGO has been transformed into what the company calls “a highly customisable asset” that can be used as a means of transportation for both people and equipment, while utilising the flexible rear cargo area. The company states: “Work crews, tools and equipment often have to move across miles of undeveloped wilderness to prospect new mine sites or inspect refining and delivery systems at any time of the year over an endless variety of solid and aquatic terrain. The 8×8 Centaur is the most economic solution when extreme, reliable and versatile off-road performance is required.” The company offers a drill-equipped model featuring the Hammerhead Rock Tools and the ARGO Drill specifically targeted at customers needing off-road mobility for geological surveying and mineral exploration. This specially equipped vehicle comes complete with either a hydraulic or pneumatic drill mast that can drill 2-4 in diameter holes up to 200 ft deep. The drill can also be detached from the ARGO and used in man-portable mode.

SEI’s BATT solution could revolutionise fuel delivery to remote sites

Mobility also refers to materials and fuel to power equipment at exploration and early stage mining sites. With mining operations typically located in remote areas with little infrastructure, fuel supply becomes a critical commodity. For the past few decades, the most common solution has been to fly bulk fuel to site using drums that were never designed for aircraft interiors. Once the fuel was offloaded into storage containers, the same aircraft then departed with empty drums as its “paying” cargo. This empty return flight doubled the actual cost of fuel delivery simply because the aircraft could not be utilised for any other cargo. This has changed with the launch of a new award-winning product, the Bulk Aviation Transport Tank (BATT) from SEI Industries. Using the BATT, once the fuel is offloaded, the tank is simply folded or rolled up for storage. This advantage cuts the cost of fuel delivery by almost 50% and speeds up operations by allowing the aircraft to carry cargo, such as core samples, out on the return flight.

SEI believes BATT is the world’s first collapsible, double-walled, baffled aviation tank. BATTs are made from two main components: a heavy duty, abrasion-resistant outer tank (with a built-in strapping system that also serves as secondary containment) and a baffled inner tank. Customised to fit specific aircraft interiors, BATTs allow operators to maximise any aircraft’s load-carrying capacity. Dead head flights (with no cargo or passengers) are minimised because the BATT can be folded up and stored when not in use. It also eliminates aircraft damage or spills caused when handling fuel drums and reduces the cost of fuel spoilage while providing a cost saving to operators who have often lost money because they cannot return damaged drums. It eliminates the need to dispose of empty drums which are often abandoned because of the high cost associated with removing them. This prevents environmental impacts in remote and, often, sensitive locations.

Although, in the past, only fuel drums were allowed to transport fuel without special permits, today, SEI Industries is the first company to receive a Transportation of Dangerous Goods Equivalency Certificate (SA 10638) from Transport Canada allowing the BATT to be used without special permits for the transportation of fuels. The company is also pursuing FAA approval for the BATT. The BATT comes in a range of sizes to fit various aircraft. Currently, DC-3, MIL-17, Cessna Caravan, AN26, AN32 and Twin Otter models are available. Future sizes will accommodate the DC-6, Bell 412 and Hercules aircraft.

Software and GIS

As a global player, Gemcom Software is known worldwide for the breadth of exploration capabilities its software provides. Gemcom’s geology and mine planning software packages (Gemcom Surpac, Gemcom GEMS and Gemcom Minex) offer many tools for exploration professionals. These tools include geological, seam and surface modelling, 3D data visualisation, drillhole data management, data interrogation, and more. The company’s Gemcom Whittle software is used in scoping and feasibility studies to determine the economic viability of mining a deposit. In 2011 it released Gemcom Hub, data management solution for exploration and production. Hub centralises, synchronises, and enables the sharing of exploration and mining data from drill holes to mine planning output. Hub enables the rapid transmission of large data files using the Internet, even over intermittent, low-bandwidth connections common to remote sites, making it possible to share data where it was virtually impossible to do so before. The company states:

A synchronisation screen from Gemcom Hub

“Hub closes the gap between a head office and remote site, supporting the quick and easy global transfer of data to enable skilled staff to spend more time assisting the field without the need for travel. It integrates seamlessly with the existing stored data generated from the vast majority of the industry’s exploration, mine planning, and production software, and also manages file output from common office applications used by staff.” By centralising data in Hub, critical project information is protected and accessible to those who need it across the enterprise. Optimised specifically for exploration and mining data, Hub provides data auditing, versioning, and easy searching (through the inclusion of tagging) of exploration and mining data files such as geological models, block models, drill holes, schedules, image files, and surveys. Hub’s intuitive searching and versioning capabilities make it easy for users to locate or recover the right information in a controlled and auditable manner.

One user is Goldgroup in Mexico, which realised it did not have the skilled labour necessary to staff four different sites. By applying Hub’s next generation software, Goldgroup was able to centralise data; overcome the limitations of a low-bandwidth network thanks to rapid upload/download of data (only changes to files are transmitted); and secure, backup, and apply version control to data. Benefits achieved include transparency into operations at the four sites; centralisation of limited staff to work on projects; and visibility across projects for senior managers.

Gemcom also offers a wide variety of exploration services, which are applied in conjunction with its software. To assist clients with their drill hole logging needs, Gemcom offers drill hole data maintenance services which include data import, auditing and cleansing. It also offers custom core and lab logging solutions which capture, store, organise and secure data according to the specific needs of individual companies and their projects.

Leapfrog 3D modelling software can now interface directly with ALS Minerals Webtrieve core data retrieval service for seamless checking and verification

Leapfrog 3D modelling software can now interface directly with ALS Minerals Webtrieve core data retrieval service for seamless checking and verification. Leapfrog Mining, developed by ARANZ Geo, is a fast, dynamic, 3D geological modelling technology with innovative workflows that the company states “enables the best possible understanding of the geology.” According to ARANZ Geo, Leapfrog enables accurate and consistent visualisation of data providing confidence in the interpretation and modelling from early exploration to mine remediation. Multiple hypotheses can be explored, new data added and course corrections made easily as the project proceeds.

Since it was first introduced in 2004 Leapfrog has been adopted by a number of leading mining and exploration companies. The interaction of the two packages offers users many distinct benefits. Leapfrog users can seamlessly view source information as part of the Leapfrog workflow, reducing interruptions and optimising usability. The ALS user can quickly visualise core data in 3D, which speeds up interpretation, evaluation and understanding of the data. This augmentation of Leapfrog & Webtrieve is available now via Leapfrog’s latest release. As part of the collaboration, ARANZ Geo is offering a 30-day evaluation licence at no cost, which can be requested on the Leapfrog website. The ALS Webtrieve data retrieval service itself has recently been expanded to include core images from core photos. The core photos are rendered into a single down-hole, depth registered image. Geochemical data may be plotted with this image, and anomalies interrogated with respect to the core photo. Photos at anomalous geochemical locations can be magnified to view details of fracture density, mineralogy, texture. The ALS Minerals service includes long term, unlimited photo archival and on-line viewing via the Webtrieve on-line data system.

Once mines enter production, software continues to help drive performance. Carlson Mining 2012, released in September 2011, gives users improved 3D abilities within its bench pit design, added options for colour settings for enhanced visual feedback in underground tming sequencing, new haul truck cycle analysis routines, new spoil placement timings, and the ability to produce customised, more professional reports among its many upgrades. Carlson Mining is the number one software solution for coal mine operations in the US. Carlson Mining 2012 provides support for AutoCAD 2012 and comes with IntelliCAD 7.0 built-in. This is in addition to working on AutoCAD versions 2000 and onwards. Also released at the same time is Carlson Natural Regrade, which can be used to reclaim any disturbed land and has been recommended by the US Department of the Interior’s Office of Surface Mining (OSM) for mine reclamation. With this release, a new Vegetation Scene tool places 3D symbols for selected vegetation based on slope and azimuth parameters for 3D visualisation of the reclaimed site. Three dimensional trees and shrubs can be placed into the model to show what the reclamation will look like at various growth stages.

Geovariances, the leading provider of advanced geostatistical solutions for the resource industry, is about to release the latest version of its flagship geostatistics software solution Isatis 2012. New to Isatis 2012 is a feature long expected by geostatisticians and exclusive to the software: an entirely automatic variogram fitting tool. This tool is unique in the world of geostatistics software as it is the only one that handles complex variography and allows quick and high-quality fitting of multivariate, multi-directional and multistructure variograms.

Starting from a set of basic combinations of structures defined by the user, the program computes the best fit of the variogram model against the input experimental variograms. The algorithm used has specifically been developed by the Geostatistics Group from Mines ParisTech Geosciences Department and is based on quadratic optimisation methods. The procedure is able to identify anisotropies and to optimise variogram ranges, sills, and other involved parameters for each basic structure, each simple or cross-variogram, in all directions of the space simultaneously. If a basic structure is not necessary in the model, the program is also able to discard it. It also handles nonstationarity.

This innovative feature is particularly of interest when updating resource models with new data. Combined with Isatis batch procedures, it allows the set up of efficient automatic estimation workflows using models adjusted at best. Isatis 2012 new capabilitities also include the ability to compute grade tonnage curves from block simulations computed on selective mining units or on panel grids. This comes in addition to the previously existing options, that is the ability to compute grade tonnage curves from the results of estimations like ordinary kriging, disjunctive kriging, uniform conditioning or multiple indicator kriging. The application has also been enriched with the ability to handle 2D block models with a given thickness (where grades along the vertical direction are considered as constant, ie stratiform deposits) and irregular block models.

Another noteworthy development is the exclusive Meandering Channel Simulations application, resulting from the FLUMY research consortium from the Geostatistics Group from Mines ParisTech Geosciences Department, which offers a new way of modelling sedimentary deposits thanks to the combination of processbased and stochastic approaches. Additional innovative functionalities also include the ability to interpolate directional data and above all visualise anisotropy directions in the scope of local geostatistics.

Analysers and interpretation

Teck has just made a major investment in ongoing development of Adrok’s technology

The industry is also seeing some completely new innovations and approaches, especially in the area of analysers. Adrok’s Atomic Dielectric Resonance (ADR) scanner works by sending a narrow beam of energy into the ground using micro- and radio-waves. As it travels downward, the energy character of the beam is altered by the various rock layers it encounters. The beam, which can penetrate to depths up to several kilometres, is continually reflected back by these same rock layers and is recorded on surface. The recorded data describes how rocks and minerals, including hydrocarbons, interact with the beam as it passes through them and pinpoints their composition. The technology measures the dielectric permittivity of the subsurface as well as characterising the nature of the rock types based on analysis of both the spectroscopic and resonant energy responses.

A key driver in pursuing development of virtual drilling technology is to reduce the number of drill holes required to delineate a mineral or hydrocarbon reserve. To do this, laboratory analyses of rock specimens and data from training holes are used to guide the interpretation and analyses of the Predrilling Virtual Logging results. As more samples are entered into Adrok’s proprietary library, the company states that confidence in the results will increase.

Another benefit to this approach is that Predrilling Virtual Logging requires no land-use permitting as use of the technology offers a non-destructive, environmentally-friendly way of remotely deducing subsurface geology.

Adrok’s client base in mining includes Teck Resources, which recently made an investment of more than £3 million in the technology. The arrangement with Teck will allow the firm to expand its commercial and technological expertise and is expected to create up to 10 new jobs. Gordon Stove, Managing Director at Adrok, said in late 2011: “We intend to grow the company rapidly next year. The funds will allow us to increase our provision of services to clients whilst concentrating on increasing global demand within the mining and oil and gas sectors. We look to advance our technology by producing next generation on and offshore systems which will generate new revenue opportunities. In many cases it is expected that our service will reduce the need for extensive drilling, dramatically decreasing both the time and costs incurred between discovery and initial production. That this investment has come from one of our existing customers is a testimony to Adrok’s technical ability and expertise.”

Teck has already tested the ADR technology at their exploration properties in Ireland and collected exploration and geotechnical data at their underground Pend Oreille mine in Washington state, USA. “We look forward to working closely with Adrok to further develop mineral exploration and geotechnical applications for Adrok’s ADR technology,” said Joel Jansen, Teck’s Chief Geophysicist. Funds from this investment will support research in ADR technology with respect to discovery, delineation and evaluation. Although it is difficult to imagine a situation where conventional drilling and sampling would not be required to advance a mineral development project through to production, it is possible to imagine a situation where Adrok’s virtual drilling technology could significantly reduce the cost to assess an opportunity and reduce the risks associated with investing in extensive drill programs.

IMA Engineering has developed new on-line Sampler-Analyser technology which can be integrated on drill rigs themselves. This integration has now led to the release of the first members of the product family. IMA has in conjunction with Atlas Copco developed the first fully integrated model PDSA (Percussion Drilling Sampler- Analyser) an Atlas Copco D65 drill rig. Deliveries of the first series of these units will be made in early to mid-2012 in Scandinavia and elsewhere. The first models are being delivered by Atlas Copco only under the Atlas Copco trade name “OreAlyser”. New Sampler-Analyser technology allows major improvements in mine grade control by sampling and analysing drill cuttings online while drilling rather than relying on samples taken from drill cuttings. These can be unrepresentative as very few cuttings come out of the hole from the first few metres; whereas the deeper you drill the more cuttings are produced. Cuttings also fly unevenly around the hole and subdrill cuttings not belonging to the bench are mixed with the other cuttings.

Fully integrated model Percussion Drilling Sampler-Analyser on Atlas Copco D65 rig

The new Atlas Copco OreAlyser family includes full mechanical and electrical integration to Atlas Copco D65 Smart Rig drills with the on-line XRF elemental analysis combined with measure while drilling (MWD) data. The OreAlyser sampler range consists of IMA Engineering Sampler-Analysers mounted on Atlas Copco rigs. The OreAlyser PDSA (Percussive Drill Sampler-Analyser) integrates with Atlas Copco Smart Rig top hammer and DTH bench drills and is only available through Atlas Copco.

The second model of IMA Sampler-Analysers is designed for the big rotary drill rigs. Deliveries of these BSA (Blast Hole Sampler Analyser) models will also start via Atlas Copco. Integration has been especially developed for Atlas Copco Pit Viper range of rotary blasthole drills.

To ensure a smooth start-up and that users get the full benefit from the new technology, IMA partner Mine On-Line Service (MOLS) is now offering advanced services for the data handling and further utilization of the 3D technology in “On-Line Mine” concept developed by the two partners.

The analysis is wireless with MWD transfer via WLAN to the mine server. Analysis data can be gathered for any desired length of hole from a 10 cm average to the hole average. The system automatically knows the hole ID from the rig and co-ordinates feed information from the rigs’ GPS system. Advanced 3D maps are available for blasting benches; explosive charging and selective loading; while there is an optional “Bag and Tag” sampling device for lab analysis samples.

In addition to the fully integrated solution, IMA Blasthole Sampler Analysers can be retrofitted on existing rigs - to date it has been tested on the Atlas Copco Pit Viper 351 and the Bucyrus BE49R (now known as the Caterpillar MD6640). The retrofit option is a tailored system with quick installation on the drill rig and many of the features of the fully integrated option, though the analysis data is in XML format and hole ID and depth information feed information needs to be supplied to the database.

MOLS has also been working in the Nordic market since 2007 with its novel mobile geochemical analysis lab, known as Scanmobile. During the past year the Scannmobile has been working actively at the national drill core storages at Loppi Finland, Malå Sweden and Lökken, Norway. The national drill core storages are managed by the Geological Surveys of Finland (GTK), Sweden (SGU) and Norway (NGU). The national core stores house old and new drill cores, the oldest ones dating back for more than one hundred years, which are available for exploration companies for review. They house significant amounts of drill core exceeding in Finland 3 million metres, in Sweden 4 million metres and in Norway 200,000 m. These cores come from past exploration projects from which, according to the local laws, all companies have to provide a representative sample of the drill cores to the national core storages. The national core stores have at their sites core logging rooms combined with convenient lodging facilities for interested customers.

MOLS offers an analytical service for its customers at the national core stores with the Scanmobile mobile lab. The Scanmobile uses XRF elemental analysis and digital imaging technology for analysing and documenting the drill cores. “Scanmobile is an ideal tool for analysing the cores at these locations because it’s analysis methods are non destructive,” said Ilpo Auranen, MOLS CEO. It scans the exposed surface of the drill cores with its XRF analyser and takes high resolution digital images of the drill cores in the box. The core pictures are further analysed to detect minerals and evaluate rock quality (RQD-value). The drill cores are left intact so that other interested parties will have the possibility to look at them also in the future. In some cases MOLS has analysed old drill cores of which only a quarter is left, where they have been analysed twice before with conventional analysis methods, destroying half of the remaining core with each analysis. The Scanmobile’s XRF is the only method capable of analysing these because the remaining core quarters are not permitted to be destroyed with further lab analysis.

Another feature of the Scanmobile service is its web browser reporting system and logging tool, the Remolog^TM, which enables customers to view and even to log the cores remotely. The Remolog combines geochemical analysis results with high resolution drill core pictures in an easy to use format. An additional advantage is the speed of analysis. “We can analyse several hundreds of metres of drill cores per day with the Scanmobile and have the results available at the Remolog on the following day, if desired” said Mr Auranen adding: “The advantage is the speed combined with the fact that our customers can bypass the national core storage logging facility’s often long booking line, because the analysis is done at the core storage not at the logging room, which will further enhance our service and shorten our customers time to mine.”

The Delta Handheld XRF from Olympus InnovX

Portable analyser solutions also continue to evolve and improve. Olympus InnovX, one of the leading manufacturers of portable XRF and XRD analysers states that it has been allocating much of its time supporting major mining house global exploration activity plus some ground breaking major international projects relating to analysers. This includes its involvement in the Canadian Mining Industry Research Organisation (CAMIRO) Exploration Division Project 10E01 - the Quality Control Assessment of Portable XRF Analysers. Phase I of this project (analysis of Standard Reference Materials) was completed last year and is moving to Phase II this year (analysis of variable media and real world samples). This project represents a co-ordinated independent assessment of several manufacturers of portable XRFs and is sponsored by over 20 mining companies that routinely use XRF technology for exploration and grade control purposes. The project goals are to benchmark the XRFs supplied from several manufacturers, to understand their strengths and weaknesses and to attempt to establish XRF standard operating procedures that can be universally adopted irrespective of the XRF manufacturer.

Olympus InnovX is also an eight year affiliate partner in the Deep Exploration Technologies Co-operative Research Centre (DET CRC) in Australia, targeting new technologies to explore at greater depths. Recent work done through the DET CRC in conjunction with CSIRO has been focussed on ensuring robust QA/QC for field application of portable XRF and development of workflows for collection, processing and storage of geochemical data sets collected using the technology.

Speaking to IM, Todd Houlahan, Olympus InnovX’s Director, International Mining Group, stated, “At Olympus InnovX we have achieved a lot over the last three years, particularly in relation to the Delta Handheld XRF and the Terra and BTX portable XRDs. XRF and XRD users want a supplier that can deliver accurate and reliable products but also provide a global approach to their portable analytical needs when it comes to cross country sales, applications development and support and service. With the dedicated exploration and mining staff we now have within our International Mining Group, along with a recent expansion in numbers, we can structure our commercial relationships and co-ordinate the technical/geochemical aspects from a global and regional perspective.”

DGI Geoscience, a global leader in quantitative in-situ physical rock properties acquisition and interpretation services brought its new 2-4C (meaning to foresee) process to the industry in 2011. The company describes it as “a statistically robust methodology to assess, interpret and define relationships within quantifiable datasets including physical properties as well as geochemistry, assay, mineralogy, and geotechnical inputs.” Eric Maag, DGI Director of Market Development commented: “DGI’s rigorous calibration and standard operating procedures for downhole physical rock properties acquisition, honed with 15 years of experience, have provided the key for true multi-disciplinary integration with accuracy, repeatability, 3D representation and timeliness. Some of the development and applications within the 2-4C process were generated through cooperative efforts with DGI’s partners and continues as the process is further refined.” The 2-4C process involves many critical elements working together for a well-defined purpose. The process begins with assessment (QA/QC) of the data. Subsequent steps include the compilation of the vast amounts of verified data into defined, reliable, meaningful, and valid groups, known as domains. Using additional quantifiable datasets in the process, for example assays/ geochemistry laboratory results, relationships to the physical rock properties domains are established with auditable statistical evidence. DGI believes that the result bridges the gap between geophysics and the other geosciences for true integration of traditionally disparate datasets in providing “3D visual results and a speed component previously unattainable while maintaining accuracy.”

ASD Inc, a provider of high-performance analytical instrumentation and materials analysis solutions, has announced the release of the TerraSpec 4 line of portable mineral analysers for optimisation of mining production and faster mineral exploration. The new rugged, portable TerraSpec 4 line includes a twofold improvement in spectrum quality in the most important wavelengths for mineral analysis, plus more rapid data collection. The TerraSpec 4 Hi-Res spectrometer for mineral exploration has a 6 nm resolution, while the Standard-Res, at 10 nm resolution, is well suited for ore analysis in mining production. “The improved technology in the new TerraSpec line of mineral analysers helps mineral exploration experts to more quickly map new deposits, and mining production organisations to better optimise their ore analysis, which aids in maximising metal recovery and mine longevity,” said Brian Curtiss, CTO of ASD. “Within the mining industry, the new TerraSpec line will continue to be the de facto standard technology for rapid, precise mineralogical analysis.”

Using near infrared technology, the newest TerraSpec mineral analysers produce cleaner, higher quality spectra. This increased spectrum clarity in the SWIR region (1,001-2,500 nm) more precisely identifies critical indicator minerals, problem gangue minerals such as swelling clays, and quantifies other important metallurgical properties. Users also enjoy better resolution of samples with darker minerals, something that has historically been difficult with reflectancebased measurement technology. IM

MineARC provides update on patented refuge chamber progress

International Mining — Wed, 01 Feb 2012 00:36:23 +0000

MineARC states that it has recently seen a rise in the number of mines worldwide implementing its patented Permanent Hard Rock Refuge Chamber technology. In the past few months seven Permanent Chambers have been installed in mines across Australia, Turkey and the Philippines, in new and existing excavations and often doubling as lunch rooms. MineARC Permanent Refuge technology is capable of sustaining over 150 occupants in a single confined space. Most recently, Argyle Diamond Mines Australia installed two 80 person lunch room conversions at their underground sites in northern Western Australia. In northeastern Turkey, Inmet Mining implemented life support systems in two 30 person lunch rooms at Cayeli Bakir mine site. The MineARC Permanent Hard Rock Chamber features "the most advanced technology of its kind" according to the company and has been designed to clean the air of harmful gases and toxins from within confined spaces. The Permanent Refuge Chamber offers a practical alternative to standard ‘portable' refuge units. Unlike portable refuge chambers, permanent chambers can offer a host of variable factors which require careful consideration before a suitable refuge solution can be implemented. The most critical aspect for designing a permanent refuge chamber is the volume of the chamber versus the number of occupants. This ratio is critical for determining a number of factors; the ‘dead air' space available, compressed air flow regulation, the size of the scrubber, and the amount of metabolic heat generated for sizing a cooling and battery backup system. All of these factors are calculated by MineARC using proprietary models. To perform the technical engineering evaluation MineARC requires and uses the following information: volume of refuge station; number of persons; entrapment duration (36 hours is MineARC standard); bulk head material; bulk head thickness; maximum external temperature and surrounding rock type.