Earths crust has a wealth of mineral resources within different types of its

rocks, Geologists and Explorers make a great effort to understand and discover
these resources.
Mining companies come to invest in extraction these minerals from their host Page | 1
rocks, and because such things as extraction costs, labor costs, and energy
costs of extraction these deposits are expensive, we have to know if these
deposits are economic or not.

1- Mineral Concentration
A deposit of minerals varies considerably in time and place. In general, the
higher the concentration of the substance, the more economical it is to mine.
Since economics is what controls the grade or concentration of the substance
in a deposit that makes the deposit profitable to mine, different substances
require different concentrations to be profitable. But, the concentration that
can be economically mined changes due to economic conditions such as
demand for the substance and the cost of extraction.
Examples:
The copper concentration in copper ore deposits has shown changes
throughout history. From 1880 to about 1960 the grade of copper ore showed
a steady decrease from about 3% to less than 1%, mainly due to increased
efficiency of mining. From about 1960 to 1980 the grade increased to over 1%
due to increasing costs of energy and an abundant supply produced by cheaper
labor in other countries.
Gold prices vary on a daily basis. When gold prices are high, old abandoned
mines re-open, when the price drops, gold mines close. The cost of labor is
currently so high in the U.S. that few gold mines can operate profitably, but in
third world countries where labor costs are lower, gold mines that have ore
concentrations well below those found in the U.S. can operate with a profit.
So, for every substance we can determine the concentration necessary in a
mineral deposit for profitable mining. By dividing this economical
concentration by the average crustal abundance for that substance, we can
determine a value called the concentration factor. The table below lists
Page | 2
average crustal abundances and concentration factors for some of the
important materials that are commonly sought. For example, Al, which has an
average crustal abundance of 8%, has a concentration factor of 3 to 4. This
means that an economic deposit of Aluminum must contain between 3 and 4
times the average crustal abundance that is between 24 and 32% Aluminum,
to be economical.
2- Grade and Tonnage
For a deposit to be mineable it must contain more than a given concentration
of the valuable commodity, and more than a given tonnage of this commodity.
Most deposits that are both big, close to the surface and high-grade have been
mined out and what remains are small rich deposits and much bigger low-grade
deposits in more remote regions or at greater depth in the crust.
Some metals are abundant in the Earths crust and they are present in high
concentrations in ores. As a consequence their price is relatively low. Other
metals are present in far lower concentrations and their price is much higher.
In any deposit the ore type varies, from small areas of rich, high-grade ore to
larger areas with lower grades, or a mixture of high and low grade ore.
The cut-off grade Important Parameter
What is left in the ground after mining is material, geologically very similar to
the material that has been mined, but simply containing a lower concentration
of the ore metal, a concentration that is below a certain threshold.
To include sub-ore in the material being mined would lead to the operation
becoming unprofitable: the cost of mining would exceed the value of the
recovered metal.
But what would happen if the metal price improves? It is evident that if the
price increases, the cut-off grade decreases because lower-grade material can
then be mined at a profit. As a consequence, the amount of mineable material
in the deposit increases.
Page | 3
In many cases, the ore contains amounts of valuable metals in concentrations
that are below the normal cut-off grade, but if they are extracted as a by-
product during the recovery of the major ore metals they contribute
significantly to the viability of the operation.
Common examples of such bonus metals include gold or silver in copper ores,
and platinum metals in Ni ores. Another topical example is the rare- earth
elements which were initially recovered as a by-product during mining of the
Bayan Obo iron deposit in China.
In contrast, the presence of small amounts of other metals can complicate the
extraction process and decrease the value of the ore. Examples of toxic or
unwanted metals include phosphorous in iron ore and arsenic in basemetal
sulfide ores.

3- Nature of the Deposit

Characteristics to be considered include the type of mineral, the grain size, and
the texture of the ore, all of which influence the cost of mining and the
extraction of the valuable commodity.
The lowest extraction costs are for ores in which the extracted element is only
mechanically bound into its gangue (e.g. free-milling gold ores or placer
deposits); higher extraction costs are associated with ores in which the
element is chemically bound to sulfur or oxide (most base-metal ores) because
it takes more energy to break such chemical bonds than to mechanically
liberate a particle.
The highest extraction costs are for ores in which the element is chemically
bound to silicates because these bonds are much stronger than metal sulfur
bonds. Each type of ore has its advantages and disadvantages.
The grain size and the hardness of the ore influence the cost of grinding it to Page | 4
the fine powder that is fed into the refinery or smelter. Three Zn-Pb (Cu)
deposits in Australia provide a striking example. All have similar ore grades but
the Broken Hill deposit has been metamorphosed to granulite facies and its
coarse ore is very easy to process; Mt Isa is less metamorphosed and its finer-
grained ore is less attractive; and the virtually unmetamorphosed McArthur
River ore is so fine that the ore metals cannot be extracted from waste minerals
by simple crushing.
Friable and soft sedimentary ores are easier to mine and process than ores in
hard magmatic rocks. And finally a continuous and compact ore body is far
easier to mine than an ore body that is disrupted by faulting or other geological
factors.
Two platinum deposits in southern Africa provide an interesting example.
Those in the Bushveld Complex in South Africa are near-continuous reefs that
make the mining operation predictable and efficient, but deposits in another
intrusion, the Great Dyke in Zimbabwe, although of similar grade to the
Bushveld deposits, are so irregular and disrupted by faulting that mining had
proved very difficult.
4- Location of the Deposit
Its value, and its very viability, decreases if it is far from centres of industry or
population, or in a harsh climate, or in a politically unstable region. All these
factors increase the cost of mining or of bringing the metals to market; or they
render the operation of a mine too dangerous or risky.
The depth of a deposit has a major influence on the cost of mining. A shallow
deposit can be exploited in an open-pit mine, which is far cheaper than the
alternative, an underground mine, that must be developed if the deposit is
deeper.
 Page | 5
Location: In Codelco, 15 km north of the city of Calama, Atacama Desert.
250km north-east of Antofagasta, 1,200km north of Santiago. (2217'S
6854'W)
Classification: open pit copper mine
OreType : Copper porphyry.
Dimension: Size of pit: L=4,500m, W=3,540m, D=800m.
Production: Gold-Copper 650,000 metric
Tons annually. A=2,800m a.s.l.
Chuquicamata Copper Mine
Chuquicamata, in northern Chile, is the worlds greatest orebody. It was mainly
controlled by initial intrusions (probably at 36 to 33 Ma) through mineralization
(last major hydrothermal event at 31 Ma) to postmineral brecciation and offset
by the West Fault system. The Chuquicamata Porphyry Complex consists of
the East Porphyry, West Porphyry, Banco Porphyry and Fine Texture
Porphyry. Potassic alteration, the early stage of alteration, affects all
porphyries. Veins of quartz molybdenite, up to 5 m wide and cutting all
porphyries, were emplaced between the early and the main stages. Main-stage
veins occupy many of the same structures of the early stage and may involve
massive remobilization of earlier mineralization. The late stage formed
digenite with relatively coarse grained covellite from deep in the sericitic zone.
A leached capping and oxide copper ore, replacing an upper chalcocite blanket,
overlie a high-grade supergene chalcocite body that extends up to 800 m in
depth.
Summary of Geological Setting
Chuquicamata is closely related to Eocene, early Oligocene porphyritic
intrusions that occur within the middle to late Cenozoic, north-south striking
Domeyko Fault system.
Pre-Oligocene rocks Page | 6

The oldest rocks in the Chuquicamata district occur in a north-northeast

trending belt of Paleozoic metasedimentary and metaplutonic rocks. These
rocks include gneissic granite, metadiorite, quartz diorite, and minor tonalite
recrystallized in varying degrees to amphibolite.
Eocene-Oligocene intrusions
The porphyritic rocks in the Chuquicamata pit, with the dominantly barren
Fortuna Complex to the west and the intensely mineralized Chupui Porphyry
Complex to the east, are separated by the major postmineral West Fault.
Rocks with textures essentially identical to those of the Chuqui Porphyry
Complex extend northward at least 9 km through the Radomiro Tomic mine
(Cuadra et al., 1997; Cuadra and Rojas, 2001).
Rock Types
Fortuna Intrusive Complex
The Fortuna Intrusive Complex borders to the open pit and contains only low-
grade mineralization. It has been structurally juxtaposed against the intensely
mineralized Chuquicamata Porphyry Complex by large-scale, postmineral
movement on the Wets Fault, which is documented by Dilles et al. (1997),
Tomlinson and Blanco (1997), and previous workers. The Fiesta Granodiorite
phase of the Complex is volumetrically dominant and is intruded by small
irregular bodies of San Lorenzo Granodioritic Porphyry and minor Tetera Aplite
Porphyry. Fiesta Granodiorite is weakly mineralized with copper oxides in the
uppermost northwestern benches of the pit. Sulfides occur only near contacts
of the San Lorenzo porphyries.
Pre-Chuqui porphyry intrusions
The Elena and East Granodiorites are exposed on the eastern margin of the pit.
They intrude metasedimentary rocks that were originally shale and sandstone
with minor limestone. Whereas Elena Granodiorite is mineralogically and
texturally similar to the East Porphyry, the East Granodiorite is texturally
Page | 7
distinctive and clearly older. A radiometric dating of the Elena Granodiorite
indicates a Jurassic (dating of zircon) to Early Cretaceous age (dating of
biotite), published by Ambrus (1979). All of these rocks at the east edge of the
pit are essentially poor of mineralization.
Chuqui Porphyry Complex
Practically the entire Chuquicamata orebody is hosted by the Chuqui Porphyry
Complex, made up of East, West, Fine Texture, and Banco porphyries. Their
textures vary widely, and most exposures are affected by some degree of
hydrothermal alteration and pervasive cataclastic deformation. The probably
oldest and largest intrusion is the East Porphyry with hypidiomorphic-granular
texture. The West Porphyry is finer grained and with quartz eyes in an aplitic
groundmass. Locally both porphyries are weakly foliated. Banco Porphyry is
more porphyritic and finer grained than East Porphyry, which it intrudes. From
West Porphyry it differs in having an abundance of small plagioclase crystals in
the aplitic mass. The Fine Texture Porphyry is distinctly finer grained than
normal East Porphyry but has also a hypidiomorphic-granular texture.
Contacts with East Porphyry may be abrupt but usually faulted. Because of the
overprinting of most dikes by quartzsericite alteration, their identification is
very difficult. Furthermore is seems, that Banco and Fine Texture porphyries
have been affected by all of the same stage of alteration and mineralization as
the East Porphyry.
Structural Controls
A large part of the copper at Chuquicamata occurs in veins and veinlets filling
faults and faultrelated shatter zones. In the main orebody practically all of
these fractures have been opened and mineralized more than once. Early-
stage veinlets of quartz and quartz-K feldspar contain no or only very minor
sulfide. They are cut by more continuous quartz veins, to 5 cm wide, containing
minor molybdenite and traces of chalcopyrite. Large banded quartz veins,
known as blue veins, are typically 1 m or more in width. They contain abundant
molybdenite and truncate the previous veins. Furthermore, they are
commonly surrounded by sericitic alteration, but this is due to superposition
Page | 8
of younger pyritic veins following the same structures. Veins and veinlets of
the main stage contain pyrite, chalcopyrite, bornite, and digenite, decreasing
amounts of quartz and increasingly well-developed sericitic alteration halos.
Locally, the earliest of these veins appear to contain pyrite without Cu sulfide
(Lindsay et al., 1995). Relatively late main stage veins contain enargite pyrite
and minor sphalerite. Later on, veinlets and fractures are filled with relatively
coarse grained covellite (to 1 mm) and digenite with and without pyrite.

Mineralization
Hypogene Alteration and Mineralization
Just like El Salvador and many other porphyry copper deposits, vein
relationships lead to the definition of an early stage defined by K feldspar
stable alteration and early quartz veinlets, a transitional stage defined by
quartz-molybdenite veining, and a main-stage defined by pyrite-bearing veins
with sericitic halos. A more unusual and controversial late stage is defined by
coarse-grainedcovellite-digenite veinlets without pyrite and possibly
hypogene sphalerite rims on other sulfides (Frraut, et al., 1997).

Supergene Mineralization and Alteration

After Taylor (1935) and Jarrell (1944) the rich oxide copper orebody has been
largely mined out, but considerable resources of lower grade material remain
in the north end of the pit and beyond (North zone, Fig. 1; Cuadra et al., 1997;
Ossandn and Zentilli, 1997). Oxide ores contain a large variety of minerals but
in chief antlerite, brochantite, atacamite, chrysocolla, and copper pitch. Also
residuals of chalcocite are implied. The ore was overlain by leached capping
and was an eastward and upward extension of the chalcocite zone, indicating
it was a supergene chalcocite enrichment blanket oxidized in situ. It is the
upper of two chalcocite blankets with a leached horizon in between. A lower
enrichment zone has more reactive alteration assemblages and contains
decreasing chalcocite and/or covellite proportions downward. In the central
zone of intense brecciation, the two enrichment blankets (copper leaching and
chalcocite enrichment) merge and reach their maximum depth.

Page | 9

Mining and processing

Coldec uses conventional open pit mining methods at Chuquicamata. A
conventional truck-and-shovel operation constitutes the mining activity.
Large quantities of the ore are crushed within the pit. Underground conveyors
transport the crushed ore to the mill bins.
An Outokumpu flash smelter is installed for smelting the concentrate. The
concentrate is then passed through a converter with electric furnace. After the
slag is cleaned, the concentrate passes through four Pierce Smith converters.
Blister copper is then sent to six anode furnaces. The electrolytic refinery has a
capacity of 855,000t per annum. Three anode casting wheels were installed
and are fed by the furnaces.
Underground mining at Chuquicamata
The new underground mine, scheduled begin operations in 2019, will comprise
of four production levels, a 7.5km main access tunnel, five clean air injection
ramps, and two air-extraction shafts.
The tunnels will deepen the mine by nearly 787m by the end of production in
2060. The underground mine will be developed at an estimated cost of $4.2bn
and will produce an estimated 140,000 tonnes of ore per day. It mine is
expected to produce 366,000t of copper and 18,000t of fine molybdenum per
year.
Sinclair Knight Merz undertook the conceptual engineering of the mine,
including identification, option studying and analysis for ore excavation and
handling. For ore extraction, panel caving and macro blocks were studied.
Three extraction panels were identified at different depths for both options.
Excavation panels identified for panel cavings were at 1,841m, 1,697m and
1,409m above sea level and 1,841m, 1,625m and 1,409m for macro blocks.
The copper ore reserves of the Chuquicamata underground mine are estimated
to be 1,700mt grading 0.7% copper and with an average molybdenum content Page | 10
of 502ppm.

Disseminated types of mineralization are formed by crystallization of deep-

seated magma. The geological body in which the ore minerals usually
metallic are disseminated or scattered, usually are not visible to the naked
eye, in low concentration as fine grains throughout or part of the host rock. It
can be mined profitably under the current market conditions, the deposits are
high tonged and low grade. Good examples are Gold Sukari mine Egypt,
Copper, Molybdenum, diamonds in kimberlite pipes in South Africa, porphyry
copper deposits at El Salvador, Chile, porphyry tungsten-molybdenum deposit
at Yukon, and Sargipalli lead-copper deposit, India.

Volcanogenic massive sulfide (VMS)

Or VHMS Volcanic-hosted massive sulfide they are formed in tectonic settings
collisional environments during period of extension and rifting . They are
related to precipitation of metals from hydrothermal solutions. VMS are strata
bound lens-like accumulations on or near the sea floor in association with
volcanic activity of sulfide minerals. The principle ore Syngenetic
, Primary: Zinc, Copper, Gold, Silver, Lead Secondary: Cobalt, Tin, Barium,
Manganese, Cadmium, Selenium, etc. Examples Zinc-lead-silver deposit of
Red Dog, Northwest Alaska, Neves Corvo, Portugal.

Sedimentary Exhalative Deposits (SEDEX)

SEDEX ore deposits formed by hydrothermal emanations on or near the sea
floor in association with the deposition of sedimentary rocks. Syngenetic
Primary: lead, zinc, silver Secondary: most of the world barite deposits, gold,
copper, tungsten. Host: Underwater sedimentary rocks. Process: Mid-Ocean
Ridge (MOE) hydrothermal fluids (black smokers). SEDEX are high grade. Page | 11
Examples The Zambian Copper belt.

Veins, fissure-veins and lodes are tabular deposit usually formed by

deposition of ore and gangue minerals in open spaces within a fault, shear and
fracture zones.
Veins often have great lateral and/or depth extent but which are usually of
narrow width that portray veins and stringers. There are two distinct types
Fissure veins and ladder veins. Veins lodes are of prime importance to mineral
deposits ores related to hydrothermal mineralization . A large portion of the
worlds economic deposits of Gold, Silver, Copper and Lead-Zinc are found in
vein lode deposits. Stringers are large numbers of thin, tiny and closely
spaced mineralized veins originating from the main orebody and often
described as Stringer Zone.c

Skarn Deposits

Skarns are calcium-bearing silicate rocks of any age, can form during regional
or contact metamorphism and from a variety of metasomatic processes
involving fluids of magmatic, metamorphic, meteoric, and/or marine origin.
They are found adjacent to plutons, along faults and major shear zones, in
shallow geothermal systems, on the bottom of the seafloor, and at lower
crustal depths in deeply buried metamorphic terrains. What links these diverse
environments, and what defines a rock as skarn, is the mineralogy. This
mineralogy includes a wide variety of calc-silicate and associated minerals but
usually is dominated by garnet and pyroxene. Skarns can be subdivided
according to several criteria. Exoskarn and endoskarn are common terms used
to indicate a sedimentary or igneous protolith, respectively. Magnesian and
calcic skarn can be used to describe the dominant composition of the protolith
and resulting skarn minerals. Not all skarns have economic mineralization;
skarns which contain ore are called skarn deposits. In most large skarn
deposits, skarn and ore minerals result from the same hydrothermal system
even though there may be significant differences in the time/space distribution
of these minerals on a local scale.
Major skarn types:
1-Iron (Fe ) Skarns. Is The largest skarn deposits, are mined for their magnetite Page | 12
content and although minor amounts of Cu, Co, Ni, and Au may be present,
iron is typically the only commodity recovered (Grigoryev et al., 1990). Many
deposits are very large (>500 million tons, >300 million tons contained Fe) and
consist dominantly of magnetite with only minor silicate gangue. Ex. Um Nar
area, central Eastern Desert, Egypt. Fe Skarn, Iron Oxide Cu-Au, and Manto Cu-
(Ag) Deposits in the Andes Cordillera of Southwest Mendoza Province,
Argentina.
2-Gold Skarns. Most Gold skarn deposits are associated with relatively mafic
diorite, granodiorite plutons and dyke/sill complexes. Most gold produced
from skarn deposits came as a byproduct of the mining of other metals,
particularly Cu. The term "gold skarn" is used here in the economic sense
suggested by Einaudi et al. (1981) and refers to ore deposits that are mined
solely or predominantly for gold and which exhibit calc-silicate alteration,
usually dominated by garnet and pyroxene, that is related to mineralization.
Ex. The Nickel Plate mine in the Hedley district, British Columbia is the largest
and highest grade gold skarn in Canada. Fortitude Deposit, Battle Mountain
District, Nevada. Gold skarn mineralization at the Crown Jewel.
3-Tungsten Skarns. Tungsten skarns are found on most continents in
association with calc-alkaline plutons in major orogenic belts. are associated
with coarse-grained, equigranular batholiths (with pegmatite and aplite dikes)
surrounded by large, high-temperature, metamorphic aureoles. These
features are collectively indicative of a deep environment. Plutons are typically
fresh with only minor myrmekite and plagioclase-pyroxene endoskarn zones
near contacts.
4-Copper Skarns. are perhaps the worlds most abundant skarn type. They are
particularly common in orogenic zones related to subduction, both in oceanic
and continental settings. Most copper skarns are associated with I-type,
magnetite series, calc-alkaline, porphyritic plutons, many of which have co-
genetic volcanic rocks, stockwork veining, brittle fracturing and brecciation,
and intense hydrothermal alteration. The largest copper skarns are associated
with mineralized porphyry copper plutons. These deposits can exceed 1 billion
tons of combined porphyry and skarn ore with more than 5 million tons of
copper recoverable from skarn.
5-Zinc Skarns. Most zinc skarns occur in continental settings associated with
either subduction or rifting. They are mined for ores of zinc, lead, and silver
although zinc is usually dominant. They are also high grade (10-20% Zn+ Pb, Page | 13
30-300 g/t Ag). Related igneous rocks span a wide range of compositions from
diorite through high-silica granite. They also span diverse geological
environments from deep-seated batholiths to shallow dike-sill complexes to
surface volcanic extrusions. The common thread linking most zinc skarn ores is
their occurrence distal to associated igneous rocks. Major reviews of zinc skarn
deposits include Einaudi et al. (1981), Megaw et al. (1988), and Megaw (1998).
6-Molybdenum Skarns.
Most molybdenum skarns are associated with leucocratic granites and range
from high grade, relatively small deposits (Azegour, Morocco, Permingeat,
1957) to low grade, bulk tonnage deposits (Little Boulder Creek, Idaho,
Cavanaugh, 1978). Numerous small occurrences are also found in Precambrian
stable cratons associated with pegmatite, aplite, and other leucocratic rocks
(Vokes, 1963). Most molybdenum skarns contain a variety of metals including
W, Cu, Zn, Pb, Bi, Sn, and U and some are truly polymetallic in that several
metals need to be recovered together in order for the deposits to be mined
economically. Mo-W-Cu is the most common association and some tungsten
skarns and copper skarns contain zones of recoverable molybdenum. Most
molybdenum skarns occur in silty carbonate or calcareous clastic rocks;
Cannivan Gulch, Montana (Darling, 1990) is a notable exception in that it
occurs in dolomite. Hedenbergitic pyroxene is the most common calc-silicate
mineral reported from molybdenum skarns with lesser grandite garnet (with
minor pyralspite component), wollastonite, amphibole, and fluorite. This
skarn mineralogy indicates a reducing environment with high fluorine
activities. These deposits have not received significant study outside of the
Soviet Union and there has not been a modern review since the brief summary
by Einaudi et al. (1981).
7-Tin skarns.
Tin skarns are almost exclusively associated with high-silica granites
generated by partial melting of continental crust, usually caused by rifting
events. The skarn destructive stages of alteration are particularly important in
tin skarn deposits. As noted by Kwak (1987), the most attractive ore bodies
occur in the distal portions of large skarn districts where massive sulfide or
oxide replacements occur without significant loss of tin in calc-silicate minerals
like garnet.

Page | 14

Black smokers pipe Type

Black smokers pipe-type deposits are formed on the tectonically and
volcanically active modern ocean floor by superheated hydrothermal water
ejected from below the crust. The water with high concentrations of dissolved
metal sulfides (Cu, Zn, Pb) from the crust precipitates to form black chimney-
like massive sulfide ore deposits around each vent and fissure when it comes in
contact with cold ocean water over time. The formation of black smokers by
sulfurous plumes is synonymous with VMS or VHMS deposits of Kidd Creak,
Canada, formed 2400 million years ago on ancient seafloor.

SEDEX ore deposits are formed due to concurrent release of ore-bearing

hydrothermal fluids into aqueous reservoir mainly ocean, resulting in the
precipitation of stratiform zinc-lead sulfide ore in a marine basin environment.
The stratification may be obscured due to post depositional deformation and
remobilization. The source of metals and mineralizing solutions are deep-
seated superheated formational brines migrated through intra-cratonic rift
basin faults which come in contact with sedimentation process. The formation
occurred mainly during Mid-Proterozoic period. SEDEX deposits are the most
important source of zinc, lead, barite and copper with associated by-products
of silver, gold, bismuth and tungsten. Depending on the deposit sub-type they
also host variable amounts of valuable by-products including copper, gold and
silver. SedEx deposits are high grade, with an average size of approximately
70 Mt, and can host about 12 percent lead and zinc. SedEx deposits are easily
distinguished from many other deposit types by the fact that their formation
is the result of minerals being deposited through the discharge of metal-
bearing fluids into seawater. This is a strong contrast from other deposit types
that are formed as a result of some type of intrusive or metamorphic process.
The examples are zinc-lead-silver deposits of Red Dog, Northwest Alaska,
McArthur River, Mt Isa, HYC, Australia, Sullivan, British Columbia, Rampura-
Agucha, Rajpura-Dariba, India, and Zambian copper belt. Page | 15

Residual deposits are formed by chemical weathering process like leaching

which removes gangue minerals from protore and enrich valuable metals in
situ or nearby location. The most important example is formation of bauxite
under tropical climate where abundance of high temperature and high rainfall
during chemical weathering of granitic rocks produces highly leached cover
rich in aluminum. Examples are bauxite deposit of Weipa, Gove Peninsula,
Darling Range and Mitchel Plateau in Australia, Awaso and Kibi, Ghana, East
Coast, India, Eyre Peninsula Kaolin deposit, Australia. Basic and ultrabasic
rocks tend to form laterites rich in iron and nickel respectively. Nickel-bearing
laterites, may or may not be associated with platinum group of elements, are
mined at New Caledonia, Norseman-Wiluna greenstone belt of Western
Australia and Central Africa, Ni-bearing limonite overburden at Sukinda, India.
The other residual-type deposits are auriferous laterites in greenstone belts
(Western Australia), Ni-Co and Cr in laterites on top of peridotites (New
Caledonia and Western Australia respectively), and Ti in soils on top of alkali
igneous rocks (Parana Basin, Brazil).

Placer deposits Syngenetic are formed by surface weathering and ocean,

river or wind action resulting in concentration of some valuable heavy resistant
minerals of economic quantities. The placer can be an accumulation of valuable
minerals formed by gravity separation during sedimentary processes. The type
of placer deposits are namely, alluvial (transported by a river), colluvial
(transported by gravity action), eluvial (material still at or near its point of
formation), beach placers (coarse sand deposited along the edge of large water
bodies) and paleo-placers (ancient buried and converted rock from an original
loose mass of sediment). The most common placer deposits are those of gold,
platinum group minerals, gemstones, pyrite, magnetite, cassiterite,
wolframite, rutile, monazite and zircon. The California gold rush in 1849 began
when someone discovered rich placer deposits of gold in streams draining the
Sierra Nevada Mountains. Recently formed marine placer deposits of rutile,
monazite, ilmenite and zircon are currently being exploited along the coast of
eastern Australia, India and Indonesia. Page | 16

Location: Andes Mountains, on the Chilean-Argentine border.

Products: Gold, Silver, Copper.
Owner: Barrick Gold.
The Mine life: "The mine life is expected to be 25 years."

Mine Production and Mineral Reserve Estimate

SRK audited the Mineral Reserve estimate that was prepared by Barrick (Table 2).
SRK is of the opinion that the estimation strategy and methods employed meet or
exceed current industry standards and the reserves have been classified according
to CIM guidelines. The LoM plan was based on calculations prepared in mid-2008
for the Feasibility Study and not the end of year Mineral Reserve estimate
disclosed in this report.
The difference between the LoM plan and the Mineral Reserve estimate is not
considered material to Silver Wheaton.
Mining commences in 2011 with pre-stripping. The amount of pre-stripping
required is 66.4Mt and this is scheduled to be mined in an 18-month period using
the owners equipment. The first ore is produced in late 2012. The production
phase commences in 2013. The LoM production schedule is shown in Table 3.
The average ore plus waste mining rate is 66.0 Mt/y, comprising 18.3Mt/y of ore
and 48.8Mt/y of waste. The average overall strip ratio is 2.71:1, exclusive of the pre-
production period. The average overall strip ratio inclusive of the pre-production
period is 2.88:1.
Metallurgy and Mineral Processing
The Pascua-Lama (and Esperanza) ore is extremely complex and highly variable,
ranging from relatively straight forward oxide zones which are amenable to
cyanide leaching, to highly altered sulphide zones containing soluble sulphate
minerals with some cyanide-amenable gold/silver and some refractory gold/silver
hosted in sulphides. The majority of silver occurs in an enriched blanket of
secondary mineralisation in the upper zones of the deposit with silver grades
typically four to five times those of the underlying primary zones.
The deposit is hosted in a high-sulphidation hydrothermal system consisting of
acidic material that requires a washing stage to remove soluble iron and copper
sulphate salts that are detrimental to subsequent processing. Ore material in the Page | 17
deposit is classified as two main types:
Non-Refractory and Refractory, both ore types are crushed, wet ground and
washed in similar circuits. The washed Non-Refractory ore is subject to direct
cyanide leaching only with pregnant solution which is recovered from the counter
current decantation (CCD) circuit, treated in a conventional Merrill Crowe (zinc
precipitation) circuit to produce gold/silver dor. The washed
Refractory ore is subject to flotation with cyanide leaching of the flotation tails.
Solution recovery and precious metal production from the leached tails is via the
CCD and Merrill Crowe circuits to produce gold/silver dor. The flotation circuit
produces a final gold/silver rich concentrate of nominally 12% copper for export to
smelters.
The proposed nominal plant capacity is 45,000t/d of ore, 30,000t/d for Non-Refractory ore and
15,000t/d for Refractory ore, according the following schedule:
Year 1, Q1: Two lines, 30,000t/d Non-Refractory ore;
Year 2, Q4: Three lines, 45,000t/d Non-Refractory ore; and
Year 3, Q3: Two lines, 30,000t/d Non-Refractory ore and one line, 15,000t/d Refractory ore.

Geological Setting
The Pascua-Lama deposit is situated at the crest of the high cordillera of Region
III, along the international border between Chile and Argentina and on the
northern edge of a major mineralised trend known as the El Indio belt. This trend,
along which a number of major precious metal deposits are located (including the
nearby Veladero mine), stretches 47km south of Pascua-Lama to the world-
renowned El Indio deposit and adjacent Tambo deposit (both closed).
The geology in the region is dominated by extrusive volcanic rocks that are locally
intruded by hypabyssal stocks of varying size and numerous dikes and sills (Figure
6-1). Volcanic activity began with deposition of the Permian Guanaco/Zonso felsic
ash flows from a caldera 15km east of Pascua-Lama and subsequent intrusion of
the Permian-Triassic Chollay crystalline felsic rocks along the extent of the El Indio
belt. These events were followed by intrusion of the Triassic Pascua-Lama granite
complex in the immediate vicinity of the Project. Deposition of extrusive volcanic
rocks and continued intrusive activity resumed in the Oligocene with the
Bocatoma diorite stocks (33-36Ma), the Tilito dacite ash flows (27.2-17.5Ma) the
Escabroso mafic andesite and andesitic flows (21.0-17.5Ma), and the Cerro de Las
Tortolas I andesites (16.0 0.2 -14.9 0.7Ma), after which volcanic activity
decreased markedly in the vicinity of the El Indio belt. Subsequent activity was Page | 18
confined to the Vacas Heladas intermediate dacitic domes, lava flows and felsic
tuffs (12.8-11.0Ma), and the Late Miocene rhyodacite dikes at Pascua. The most
recent activity in the region included deposition of the post mineralisation silicic
Vallecito rhyolites south of Pascua-Lama in the vicinity of Cerro de Las Tortolas,
and the Upper Pliocene Cerro de Vidrio rhyolite. All ages are from Bissig et al.,
(2000a & 2001) and Martin et al.,(1995).
Regional structure in and around the gold deposits and prospects in the El Indio
belt is dominated by northerly-trending high angle reverse faults, normal faults
and fold belts oriented parallel to the major structural grain of this portion of the
Andean Cordillera. Pascua-Lama is positioned near the center of a northerly
trending graben that contains nearly the entire Tertiary volcanic sequence that is
distributed along the spine of the cordillera in Chile and Argentina. This graben is
bounded by two high angle reverse fault zones, the Baos del Toro/Chollay located
10km west of the deposit and the El Indio zone situated 16km to the east. The
graben is cut at Pascua and El Indio by strong, west-northwest fracture zones,
which form loci for mineralisation. Large elliptical fracture zones are also present
immediately to the east and/or northeast of both El Indio/Tambo and the Pascua-
Lama/Veladero deposit areas, and these zones may have contributed to host rock
permeability.

Deposit Type
The gold, silver and copper mineralisation and alteration assemblages at Pascua-
Lama are associated with a structurally controlled acid sulphate hydrothermal
system hosted by intrusive and volcanic rock sequences of the Upper Palaeozoic
and Middle Tertiary age. Alteration and mineralisation are of the high-
sulphidation, epithermal type. Throughout the Pascua-Lama district, the
alteration and mineralisation appear to have been strongly controlled by structure.
This control is most evident along the Esperanza, Pedro and Quebrada de Pascua
fault systems. As is typical with high-sulphidation epithermal deposits, the
principal metal commodities at Pascua-Lama are gold and silver, the copper
content is sub-economic.
The presence of hypabyssal intrusive host rocks that are not related to
mineralisation is unusual for high sulphidation deposits, making Pascua-Lama
(along with Barricks Alto Chicama deposit in Peru, which is hosted by meta-
sedimentary rocks) somewhat unique among deposits of this type.
Page | 19
Overview
Pascua-Lama is located at an altitude of 3,800m to 5,200m. The Chilean part of the
mine constitutes 75%, while 25% is located in Argentina. The development
activities of Pascua-Lama were stopped in April 2013, following a Chilean court's
orders on issues of sanitation and violation of the Glacier monitoring plan. The
Diaguita indigenous community filed a petition for the closure of the project.
Barrick Gold's plea to reopen the project was rejected by a local appellate court in
Copiap, Chile, on 24 April 2013.
The Chile's Supreme Court, however, issued a ruling in September 2013
overturning the Copiap court order. Following the ruling, Barrick Gold will
construct a water management system at the Chilean section of the mine in order
to receive environmental approval for the project. The water management system
is expected to be completed by the end of 2014.
Barrick Gold announced its decision to temporarily suspend the Pascua-Lama
project, in October 2013, in order to reduce its debt burden. Construction of
facilities required for obtaining the environmental approval will, however, be
completed. The company plans to resume the mine's development in future.
The Argentinean segment was to include critical infrastructure such as the
processing plant and tailings storage facility.
Barrick Gold had estimated the development capital cost of Pascua-Lama to be
$3bn at 2009 prices, but the construction delay increased the estimated capital
costs of the project to approximately $8bn to $8.5bn at 2012 prices. The
development of the mine would have created more than 5,500 jobs during
construction and more than 1,600 jobs during production phase.
.
Location: 3,000m above sea level in the Atacama Desert of northern Chile
Products: Copper
Page | 20
Owner: CODELCO Production future.
Ore Type: Porphyry copper deposit.

Overview: Radomiro Tomic is the first mine to have been entirely developed by
the Chilean state copper-mining company, Codelco. Located at 3,000m above sea
level in the Atacama Desert of northern Chile, this new mining and
hydrometallurgical operation is 4km from the Chuquicamata mine and smelter.
Development was approved in 1995, started in 1996 and was essentially
completed in 1997. The initial target capacity was 150,000t/y of copper cathodes
but optimisation during construction raised the rating to 180,000t/y by the
commissioning date. Prime contractor LX Ltda (Bechtel and ARA in joint venture)
completed work early, below the budgeted $641 million. Recovering copper by
heap leaching and electrowinning, Radimiro Tomic was inaugurated in 1998. In
1999 Codelco contracted Kvaerner Metals to increase the plant capacity to
250,000t/y of cathode at a cost of $220 million. This expansion was completed in
2001. Codelco initially created a new Radomiro Tomic Division with a streamlined
organisation to manage the facility. During 2002, the corporation decided to
amalgamate Chuquicamata and RT as one division - Codelco Norte - and
developed a consolidated resource exploitation plan for the deposits in this area.
About 460 people work at Radimiro Tomic.

Geology of the Deposit: The Radomiro Tomic porphyry copper deposit is

located along the West Fissure structural domain, one of the main strands of the
Domeyko fault zone (Cuadra and Camus, 1998). The orebody is 1 km wide,
elongated north-south, and is completely buried by 30 to 150 m of Tertiary to
Quaternary alluvial gravels, below which a thick oxidation zone was developed on
granitic bedrock during a semiarid regime.
The host rock of copper mineralization at RadomiroTomic is the Chuqui Porphyry,
the youngest intrusion emplaced on the eastern side of a Tertiary intrusive
sequence. To the east the Chuqui Porphyry is in contact with a coarse-grained
granodioritic intrusion, the Elena Granodiorite, and to the west with the Fortuna
Granodiorite Complex (Fig. 2). The latter is a north-northeastelongated intrusion Page | 21
22 km long by 5 km wide that comprises five intrusive bodies of fine- to
mediumgrained hornblende-biotite granodiorite. This complex, dated 39 to 37 Ma
(Dilles et al., 1997) intruded Triassic to early Tertiary andesitic volcanics. Contact
relationships between the Chuqui Porphyry and its host rocks are not well defined
because information is based only on a few existing drill holes along the margins
of the deposit.

The hypogene alteration and mineralization processes are restricted almost

entirely to the Chuqui Porphyry, a granodioritic to monzonitic intrusion with
medium- to coarse-grained phenocrysts set in a fine groundmass, and they were
originated within the West Fissure fault zone. Recent 40Ar/39Ar dating on the
Chuqui Porphyry at Radomiro Tomic gives an average age of 32.7 Ma for the K
silicate late-magmatic phase and an age of 31.8 0.3 Ma for the sericitic alteration
(Cuadra et al., 1997). These ages define a slightly different hydrothermal timing
compared to Chuquicamata (33.4 and 31.1 Ma, respectively; Zentilli et al., 1995).
At Radomiro Tomic, potassic alteration is younger and the quartz-sericitic event is
older than at Chuquicamata, so the time duration of alteration is shorter at
Radomiro Tomic than at Chuquicamata.

The mineralized intrusion is buried beneath Tertiary to Quaternary alluvial gravels,

with a thickness ranging from 30 m on the east side to 150 m on the west side. As
a result the bedrock surface has a relatively gentle slope to the west, with some
abrupt changes indicating possible faults, but this is not well-defined yet. The
gravels are composed of angular andesitic fragments, 1 to 10 cm in diameter, in a
sandy and poorly to moderately cemented matrix. This unit is in direct contact
with the underlying leached or oxide zones of the deposit. Locally, the gravel is
mineralized with exotic copper reaching thicknesses of tens of meters, mainly
along northwest-trending paleochannels according to the paleotopography. A tuff
intercalated in the gravels, 2 m below the current surface, was dated in biotite by
the K-Ar method at 9.7 0.7 Ma (Cuadra et al., 1997).
Alteration
K silicate alteration is developed pervasively throughout the entire Radomiro
Tomic deposit, with the highest intensity found in the area between coordinates
10,000 N and 11,000 N (Fig. 2). It is represented typically by quartz-K feldspar Page | 22
veinlets and biotitization of hornblende phenocrysts. Quartz-sericitic alteration is
less abundant and is clearly controlled by northeast- and north-southstriking
subvertical structures. These structures are marked by quartz-pyritechalcopyrite
D-type veins, with quartz-sericite halos. In the upper part of the oxidation zone
supergene argillic alteration is defined by montmorillonite and kaolinite in
fractures and as replacement of feldspars.

Hypogene mineralization
Hypogene mineralization follows a concentric distribution of inner bornite-
chalcopyrite, intermediate chalcopyrite > pyrite, and outer pyrite > chalcopyrite
zones centered around the coordinates 9,700 N and 11,000 N (Fig. 2) and averaging
0.5 wt percent total copper. Minor molybdenite mineralization is present alone or
associated with chalcopyrite and pyrite in quartz veins and veinlets striking north
and dipping subvertically. Arsenic minerals such as enargite are absent in
significant contrast to the Chuquicamata orebody. This difference may indicate a
greater degree of erosion for the Radomiro Tomic orebody. Hypogene
mineralization continues to at least 400 m below the top of sulfides.

Supergene mineralization
Supergene oxidation and leaching processes affected the hypogene
mineralization to an average depth of about 200 m beneath the gravel-bedrock
contact (Fig. 3). Supergene mineralization is present immediately below the
gravels with a typical vertical distribution of leached oxide zones, a mixed (oxide
sulfide) zone, and a secondary sulfide zone. Locally, along quartz-sericite-faulted
veins enrichment has reached depths of up to 800 m. The description of the
different zones follows.

Copper Mining
The conventional open pit strips at a 1.5:1 waste-to-ore ratio using rotary drills,
P&H 4100 shovels, a LeTourneau loader, Caterpillar 793B and Komatsu 330st-
capacity trucks. An FFE Minerals gyratory primary crusher near the pit rim supplies
coarse ore, which travels to the main processing area via a 9,615t/h Krupp
Page | 23
conveyor. The expansion added tertiary cone crushing (SRP Hydrocones) to the
secondary Symons cone. Conveyors take stockpiled ore to pre-treatment and
stacking on the racetrack-style heap-leach pads. Leached material is reclaimed by
a bucket wheel and is conveyed to the dump area. Rahco and MAN-Takraf supplied
the crawler-mounted materials-handling equipment. To handle the expanded
production, the conveyor drives were fitted with programmable soft braking
systems.
Copper Processing
Following acid leaching, the copper is separated from the heap-leach solution by
four-stage solvent extraction with Acorga reagents and is fed in solution to the
electrowinning tankhouse for recovery as cathodes using sophisticated
technology. Four solvent-extraction trains designed and supplied by Outokumpu
Engineering (including VSF mixer-settlers, Proscon 2100 NT process control
system and OTI 99 titrators) remove the copper. The electrowinning feed and
reagent streams are cleaned using molecular sieve coagulators and electrolyte
filters designed by Codelco, and by CPT flotation columns. The large and highly
automated electrowinning tankhouse was fitted with unique cathode cranes and
stripping machines as well as a system of blowers and aerosol chimneys to
ventilate the cells. The expansion added 272 cells, two travelling cranes and a
cathode washing-stripping machine. Secondary leaching of waste will add
24,000t/y to 28,000t/y of copper to the cathode output.
Copper Production
After start-up, Radomiro Tomic recorded total operating costs of $0.44/lb,
producing 162,000t copper in 1998 and 190,100t in 1999. The expansion boosted
output to 256,000t/y in 2001 and Codelco hoped to maintain production at around
300,000t/y thereafter. Actual output in 2002 was 297,119t at a cash cost of
$0.33/lb.
The commonwealth of Australia is a highly developed country with worlds
seventh highest per capita income. The country is comprised of mainland,
Page | 24
Australian continent (7.618 million km2 surface area), surrounded by more than
8000 islands in Indian and Pacific Ocean that includes Tasmania (68,000 km2). The
population is estimated to be 22.70 million as on 2011. Australia follows
constitutional monarchy with federal parliamentary system of government with
Queen Elizabeth II at its apex. Australia has six states and two major mainland
territories.

The mineral resource base industries are the key pillar of Australian economy.
Australia is the worlds leading producer of bauxite (65 Mt) and iron ore (393.9 Mt),
the second largest producer of alumina (19.6 Mt), lead (0.57 Mt) and manganese
(4.45 Mt), the third of brown coal (66 Mt), gold (~250 t), nickel (185 kt), zinc (1.29
Mt) and uranium (1.224 Mt U), the fourth of aluminum (2 Mt), black coal (445 Mt)
and silver (1.63 kt), and finally the fifth largest producer of tin during 2009.

The mineral policy and mining legislation are largely provincial. Mines and
minerals are a state subject in Australia and hence each of the six states and two
major territories has their own mining legislation. Although there are many
similarities, differences in legislation from state to state are also very significant.
The policy framework and Acts are powerful with clarity, efficiency and
competitive in the process to make the fortune. But the system is quite complex
on certain issues.
The legislation as framed in Western Australia can be considered as model for
discussion, with some deviation from other states and territories. The Act may be
cited as Mining Act 1978 and updated
2009. The mining tenement or concession includes PL, exploration license,
retention license, ML, general purpose lease and miscellaneous license granted or
acquired under this Act or by virtue of the repealed Act. The Act includes the
specified piece of land in respect of which the tenement is so granted or acquired.
The application for all types of license in prescribed format is to be submitted to
the office of the mining registrar or warden of the mineral field or district in which
the largest portion of the land to which the application relates is situated. The
application must be accompanied by the following documents.
(a) Written description of the area.
(b) A map with clearly delineated tenement boundaries and coordinates.
(c) Detail program of work proposal. Page | 25
(d) Mining proposal or mineralization report prepared by a qualified person.
(e) Estimated amount of money to be expended.
(f) Stipulated fee and the amount of prescribed rent for the first year or portion
thereof.
The mining registrar may grant the license if satisfied that the applicant has
complied in all respects with the provisions of this Act or refuse the license if not
so satisfied. The holder of prospecting and exploration license will have priority for
grant of one or more mining or general purpose leases or both in respect of any
part or parts of the land while the license in force. The license and lease are
transferable.

Exploration & Mining from Ore to Metal . What does it Cost?!!

Twin Creeks Mine

Location: Northern Nevada, United States.

Products: Gold.
Operation: Newmont Gold Corporation.
Deposit size: Length 4 km
Width 1 km
Area 3 sq km

Deposit features: Beds or lenses

 Dikes or sills
Fault zone

Deposit age geologic: Eocene Page | 26

Intrusive rock: Dacite porphyry
Ore bearing unit: PennsylvanianPermian Etchart Fm.; Ordovician
Valmy Fm. and Comus Fm.
Ore bearing unit thickness: 3000 m
Tectonic setting: North-American craton rifted western margin,
imbricate structure.
Alteration : Contact metamorphism (?) decarbonatization, oxidation
& silicification (jasperoid)
Associated deposits: sediment-hosted Au
Discovery date: 1984
Operation types: Open pit, Crushing and milling & Heap leach.

Total tonnage: 223.4tonnes

Contained gold: 484 tonnes
Recovery: Au 80%
Gold grade: 2.67 g/t
Reserves (December 31, 2014): 0.158M oz. gold

Reference information

Bloomstein, E.I., Massingil, G.L., Parratt, R.L., and Peltonen, D.R., 1991, Discovery, geology, and
mineralization of the Rabbit Creek gold deposit, Humboldt County, Nevada, in Raines, G.L.,
Lisle, R.E., Schafer, R.W., and Wilkinson, W.H., eds., Geology and ore deposits of the Great
Basin, Symposium Proceedings: Reno, Geological Society of Nevada, p. 821843.
Breit, F.J., Jr., Ressel, M.W., Anderson, S.D., and Muirhead, E.M.M., 2005, Geology and gold
deposits of the Twin Creeks mine, Humboldt County, Nevada, in Rhoden, H.N., Steininger, R.C.,
and Vikre, P.G., eds., Symposium 2005Window to the world: Reno, Nevada Geological
Society, p. 431451.
Briggs, D.F., 2006, Mining operations report, version 2005: Unpublished. Page | 27

Groff, J.A., Heizler, M.T., McIntosh, W.C., and Norman, D.I., 1997, 40Ar/39Ar dating and mineral
paragenesis for Carlin-type gold deposits along the Getchell Trend, NevadaEvidence for
Cretaceous and Tertiary gold mineralization: Economic Geology, v. 92, p. 601622.
Hall, C.M., Kesler, S.E., Simon, G., and Fortuna J., 2000, Overlapping Cretaceous and Eocene
alteration, Twin Creeks Carlin-type deposit, Nevada: Economic Geology, v. 95, p. 17391752.
Nevada Bureau of Mines and Geology, 2011, The Nevada mineral industry, 2010: Nevada Bureau
of Mines and Geology Special Publication MI-2010, 151 p.
Newmont, 2012, Reserves and non-reserve mineralization: Annual Report of December 31, 2011,
8 p., last accessed May 8, 2012, at
http://www.newmont.com/sites/default/files/u87/NEM_2011%20Attributable%20Reserves%2
0and%20NRM.PDF.
[http://www.newmont.com/sites/default/files/u87/NEM_2011%20Attributable%20Reserves%2
0and%20NRM.PDF]
Osteberg, M.W., and Guilbert, J.M., 1991, Geology, wall-rock alteration, and new exploration
techniques at the Chimney Creek sediment-hosted gold deposit, Humboldt County, Nevada, in
Raines, G.L., Lisle, R.E., Schafer, R.W., and Wilkinson, W.H., eds., Geology and ore deposits of
the Great Basin, Symposium Proceedings: Reno, Geological Society of Nevada, p. 805819.
Simon, G., Kesler, S.E., and Chryssoulis, S., 1999, Geochemistry and textures of gold-bearing
arsenian pyrite, Twin Creeks, NevadaImplications for deposition of gold in Carlin-type
deposits: Economic Geology, v. 94, p. 405422.
Stenger, D.P., Kesler, S.E., Peltonen, D.R., and Tapper, C.J., 1998, Deposition of gold in Carlin-
type depositsThe role of sulfidation and decarbonation at Twin Creeks, Nevada: Economic
Geology, v. 93, p. 201215.
Thoreson, R.F., Jones, M.E., Breit, F.J., Doyle-Kunkel, M.A., and Clarke, L.J., 2000, The geology
and gold mineralization of the Twin Creeks gold deposits, Humboldt county, Nevada, in
Crafford, A.E.J., ed., Geology and ore depositsThe Great Basin and beyond; Geology and ore
deposits of the Getchell region, Humboldt County, Nevada: Geological Society of Nevada
Symposium 2000, Field Trip 9, p. 85111.
Usually 5 years of a company's time the financial cost depends on
what you are looking for, where your are looking and what you end Page | 28
up finding?

The comminution circuit comprises a contractor-owned and

operated three-stage crushing plant, feeding a fine ore stockpile,
ahead of a two-stage closed circuit ball milling circuit. Milled ore
proceeds to a three-stage leaching train feeding the six-stage carbon
in pulp (CIP) circuit. Carbon elution is by pressure Zadra with gold
being electro-won and smelted. In February 2003 a gravity circuit was
retrofitted. It comprises a Knelson gravity concentrator and an
intensive leach reactor (ILR) for intensive cyanidation of the gravity
concentrate. The gravity circuit was upgraded and retrofitted in
September 2011 to incorporate a second 26 Knelson gravity
concentrator, an ILR 2000BA and two Magscreen 1000 units. The
processing capacity at the plant is 1.3 Mtpa. Quantitative analysis of
recovery improvements will be evaluated and included in future
Mineral Resources and Mineral Reserve calculations in accordance
with the grade/ recovery model currently adopted. Tailings disposal
and impoundment have historically been to a conventional dam
constructed using the upstream lift method sourcing wall material
from dried tailings. The original tailing storage facility (TSF) was
located in an area some
1.5 kilometres south-west of the Agnew plant. Deposition to this
facility ceased in early 2004 and a large section of this
decommissioned facility has been capped with waste rock.
The remaining exposed sections are being harvested for use as
underground paste fill. Following completion of mining activities at
the Redeemer Mine, the abandoned pit has been converted to a
tailings storage impoundment for tailings arising from the Agnew
plant (TSF3). Although situated seven kilometres south of the Agnew
plant, the static head is negative, and pumping of the tailings
material is therefore done at no additional cost from the previous Page | 29
deposition technique. The pontoon-mounted decant pump recovers
water from the supernatant pond, which forms due to liberation of
water from the tailings slurry as it settles and consolidates. TSF3 is
projected to last until 2015, based on deposition rates of 1.3 million
tonnes per annum and historical deposition levels from December
2004 to February 2011.
The Australia's largest open cut gold mine

Location: Kalgoorlie, Western Australia.

Products: Gold.
Owner: Kalgoorlie Consolidated Gold Mines Pty Ltd.
Overview: The Super Pit is located off the Goldfields Highway on the south-
east edge of Kalgoorlie, Western Australia. The pit is oblong in shape and is
approximately 3.5 kilometres long, 1.5 kilometres wide and 570 metres deep.
At these dimensions, it is large enough to be seen from space.
The Super Pit is owned by Kalgoorlie Consolidated Gold Mines Pty Ltd, a
company owned 50/50 by Barrick Gold Corporation and Newmont Mining
Corporation. The mine produces 850,000 ounces (28 tonnes) of gold per year,
and employs around 550 employees directly on site.
Originally consisting of a number of small underground mines, consolidation
into a single open pit mine was attempted by Alan Bond, but he was unable to
complete the takeover. The Super Pit was eventually created in 1989 by
Kalgoorlie Consolidated Gold Mines Pty Ltd.
Barrick Gold acquired its share of the mine in December 2001, when it took over
Homestake Mining Company. Newmont became part-owner of the mine three
months later, when it acquired Normandy Mining in February 2002.
Geological Setting: Most of the good gold mined in the Super Pit occurs
within ore lodes formed by ancient shears in a rock unit called the Golden Mile
Dolerite. The gold mining area of Kalgoorlie-Boulder-Fimiston has long been
called the Golden Mile because of the geographical concentration of rich mines
in that area, even though the lodes occur in an area over 2 km in width and 1
km in depth.

Page | 30
Kalgoorlie Terrane.
1. Pre- to syn-D, granitoids were emplaced as broadly conformable sheet-like
bodies at the base of, or within, the greenstone succession, probably during
2. Post-D, to syn-D, granitoids were diapirically emplaced, and are
concentrated in a zone along the western side of the Kalgoorlie Terrane.
3. Late-tectonic to post-tectonic granitoids were emplaced late in the history
of the Terrane. Limited geochronological data suggest the granitoids were
emplaced at 2690-2680 Ma (group I), 2665-2660 Ma (group 2) and 2650-2600
Ma (group 3) (Hill ef al.,
1992). Small porphyry intrusions, including lamprophyres
(Rock et aL, 1989), are widespread and petrologically diverse; they may be
genetically related to some of the I-type granitoid suites (Witt, 1992). They are
common in and near regional deformation zones, and are associated with
many gold deposits (Perring et al., 1988,1989).
GOLD MINERALIZATION:
All rock types in the Kalgoorlie Terrane host gold mineralization, but most
production has come from fractionated quartz-dolerite zones of mafic-
ultramafic sills and from tholeiitic basalt.
The dominance of quartz-dolerite and tholeiitic basalt remains even if bias
introduced by the "giant" Kalgoorlie deposits (Golden
Mile, Mount Charlotte) is eliminated. A similar picture emerges when host
rocks to gold mineralization throughout the Yilgarn Craton are considered
(.1B; Groves & Barley, 1988). Quartz-dolerite and tholeiitic basalt host rocks
are characterized by high FeO* contents and FeO*/(FeO*+MgO) (Tables
II.1,11.2), where FeO* is total iron expressed as FeO. Although mafic rocks are
the dominant hosts, other rock types (e.g., granitoids, porphyry, ultramafic
rocks) host important deposits, and can even be the dominant host rock on a
camp scale (e.g., porphyries at New Celebration). All rock types in the
Kalgoorlie Terrane host gold mineralization, but most production has come
from fractionated quartz-dolerite zones of mafic-ultramafic sills and from
tholeiitic basalt .
Production:
Mining is via conventional drill and blast mining via face shovels and dump
trucks. Around 15 million tonnes of rock is moved in any given year, consisting
primarily of waste rock.
Page | 31
Gold within the Golden Mile lode system is unusual in that it is present as
telluride minerals within pyrite. In order to recover the gold, the ore must be
crushed, passed through a gravity circuit to recover the free gold present in
some of the higher-grade lodes, and then subjected to flotation to produce an
auriferous pyrite concentrate. This is then roasted at a small smelter outside
Kalgoorlie-Boulder to liberate the gold from the tellurides, with dor bars
poured.

What is Pyrite?

Pyrite is a brass-yellow mineral with a bright metallic luster. It has a

chemical composition of iron disulfide (FeS2) and is the most
common sulfide mineral. It forms at high and low temperatures and
occurs, usually in small quantities, in igneous, metamorphic and
sedimentary rocks worldwide.

The name "pyrite" is after the Greek "pyr" meaning "fire." This name
was given because pyrite can be used to create the sparks needed for
starting a fire if it is struck against metal or another hard material.
Pieces of pyrite have also been used as a spark-producing material in
flintlock firearms.

Pyrite has a nickname that has become famous - Fools Gold. The
mineral's gold color, metallic luster and high specific gravity often
cause it to be mistaken for gold by inexperienced prospectors.
However, pyrite is often associated with gold. The two minerals
often form together, and in some deposits pyrite contains enough
included gold to warrant mining.

Identifying Pyrite Page | 32

Hand-specimens of pyrite are usually easy to identify. The mineral

always has a brass-yellow color, a metallic luster and a high specific
gravity. It is harder than other yellow metallic minerals and its streak
is black, usually with a tinge of green. It often occurs in well-formed
crystals in the shape of cubes, octahedrons or pyritohedrons, which
often have striated faces.

The only common mineral that has properties similar to pyrite is

marcasite, a dimorph of pyrite with the same chemical composition
but an orthorhombic crystal structure. Marcasite does not have the
same brassy yellow color of pyrite. Instead it is a pale brass color,
sometimes with a slight tint of green. Marcasite is more brittle than
pyrite and also has a slightly lower specific gravity at 4.8.

Pyrite and gold can easily be distinguished. Gold is very soft and will
bend or dent with pin pressure. Pyrite is brittle and thin pieces will
break with pin pressure. Gold leaves a yellow streak, while pyrite's
streak is greenish black. Gold also has a much higher specific gravity.
A little careful testing will help you avoid the "Fool's Gold" problem.

Uses of Pyrite?

Pyrite used to be an important ore for the production of sulfur and

sulfuric acid. Today most sulfur is obtained as a byproduct of natural
gas and crude oil processing. Some sulfur continues to be produced
from pyrite as a byproduct of gold production.
The most important use of pyrite is as an ore of gold. Gold and pyrite
form under similar conditions and occur together in the same rocks.
In some deposits small amounts of gold occur as inclusions and Page | 33
substitutions within pyrite.

Some pyrites can contain 0.25% gold by weight or more. Although

this is a tiny fraction of the ore, the value of gold is so high that the
pyrite might be a worthwhile mining target. If pyrite contains 0.25%
gold and the gold price is $1500 per troy ounce, then one ton of pyrite
will contain about 73 troy ounces of gold worth over $109,000. That
is not a guaranteed money-maker. It depends upon how efficiently
the gold can be recovered and the cost of the recovery process.

Pyrite is occasionally used as a gemstone. It is fashioned into beads,

cut into cabochons, faceted, and carved into shapes. This type of
jewelry was popular in the United States and Europe in the mid- to
late-1800s. Most of the jewelry stones were called "marcasite," but
they are actually pyrite. (Marcasite would be a poor choice for jewelry
because it quickly oxidizes, and the oxidation products cause
damage to anything that they contact. Pyrite is not an excellent
jewelry stone because it easily tarnishes.)

TENEMENT: M37/25, M37/333

OWNER: St Barbara Ltd 100%
OPERATOR: St Barbara Ltd (ACN 009 165 066)
Level 10, 432 St Kilda Road,
MELBOURNE,VIC 3000
COMMODITIES: Gold
Brief History of the Gwalia Gold Mine
1897 to 1963 -Underground mining of the Sons of Gwalia gold
deposit with shaft access to depths of 1.08 km Page | 34
1984 to 1999 Mined as an open pit
1998 to 2003 Remnant underground mining of upper levels using
hanging wall decline access
2007 to present Mine decline development recommenced and is
now below 1.1 km.

Project Summary:
The Gwalia Deeps underground Gold Mine is located 3km south of
Leonora in the north-eastern goldfields of Western Australia. Gwalia
Deeps is the name given to the down plunge extension of the Sons of
Gwalia ore body from 1,075 metres below surface. The Gwalia mine
has produced in excess of 4,580,000 ounces of gold via open pit and
underground mining since its discovery in 1896.

Gold mineralisation occurs as a number of en echelon, moderately

east dipping foliation parallel lodes within strongly potassic altered
mafic rocks and extends over a strike length of approximately 500m
and to a vertical depth of at least 2,000m. Five lodes have been
identified and the lode names and geometries are summarised in
Figure 1 below. Further detail on the geology and estimation
techniques can be found in the St Barbara Limited Mineral Resource
Report.
The primary mining method since resumption of underground
production in 2008 is a Longhole Open Stoping method with paste
fill. Stoping configurations are predominantly double lift (40m
vertical interval) however single lift stoping (20m vertical interval) is
used in some areas. The Double Lift stoping method (as illustrated in
Figure 2) involves concurrently mining the uphole (part DL3.1) and
downhole (part DL3.2) sections of the stope. The upper and lower
portions of the stope are drawn back and bogged at the same time.
Parts 2 and 3 are then paste filled, followed by the delayed extraction Page | 35
of the DL3 part 3 wedge (part DL3.3).

The delayed extraction of the part 3 wedge serves to reduce the

hanging wall dip length in the primary stopes and thus preserve HW
stability despite the 40m vertical lift. The installation of HW cables
and the use of a concurrent strike retreat blasting sequence of the
part 1 and 2 sections, also assist in controlling HW stability.

References
Browne, C. & Love, R. 2013, SBM Gwalia Deeps Resource Report,
Internal St Barbara Report.
de Vries, J, Zimmerman, J & Beswick, M. 2013 Gwalia Mine
Australasian Mining and Metallurgical Operating Practices 3rd
edition.
Wilson, L. Beswick, M and de Vries, J., 2013., St Barbara Limited Ore
Reserve Report - Gwalia June 2013, SBM Report. June, 2013

Data capture and preparation

Primary Data Capture (first-hand collection)

Digitizing
Scanning
Other point measurements
Census data
GPS collections
Aerial photographs
Remote sensing data
Page | 36
Secondary Data Capture (from others)
Published or released data (originally primary data)
All primary data from others are secondary data for you and me

Data manipulation and analysis

Spatial analysis is how we understand our worldmapping where
things are, how they relate, what it all means, and what actions to
take.
From computational analysis of geographic patterns to finding
optimum routes, site selection, and advanced predictive modeling,
spatial analysis is at the very heart of geographic information system
(GIS) technology.
The process of examining the location, attributes and relationships
of features in spatial data through analytical techniques. It extracts
or creates new information from spatial data.

The data presentation phase

Deals with putting it all together into a format that communicates
the result of data analysis in the best possible way.
Many issues arise in this phase. Among other things, we need to
consider what the message is that we want to portray, who the
audience is, what kind of presentation medium will be used, which
rules of aesthetics apply, and what techniques are available for
representation.
 Page | 37

How to evaluate your new job offer

Evaluating a job offer is very subjective, but people often focus on
the salary and disregard other key areas. Here is a five-step process
that I developed to help my clients fully evaluate new job
opportunities and determine if this is the right fit for them.
1. Evaluate the Position: The actual position is the most important
part of the offer. In this new economy, where jobs tend to have
a shorter tenure, each position becomes the stepping-stone to
the next position. So if you have a career path in mind, each job
positions you for the next step in your career. Is this opportunity
the right one for you at this time? Would this position align you
with your intended career path? Do you have the necessary
skills to do this job well, and at the same time does this job
provide you with growth opportunities for your continued
professional evolution?
2. Is there Proper Chemistry? The number one ingredient that
determines job satisfaction is the relationship between the
employee and the direct manager. Poor relationships with
managers are the main reason people leave companies. How
would you define your new managers leadership and
communication style? How would you classify the manager's
expectations reasonable, aggressive or unreasonable? Did
you get a chance to meet your new teammates or that
 dedicated client to whom you are supposed to provide
outstanding customer service? What do you like best about
your new manager? What troubles you about the manager? I
realize it is hard to make these judgments after only a few Page | 38

interviews, but remember it is a two-way street. They had the

same amount of time with you, and they also need to go
through this evaluation process.
3. The Compensation: The third thing I look at is the actual
compensation. Is the base salary consistent with your current
market value? If you are being compensated by income other
than a base salary (performance bonus, commission, etc.), then
you need to look at the total compensation structure for the
position. How are the health, dental and retirement benefits?
What is the vacation policy? Are there education and training
reimbursement opportunities for you to take advantage of so
you can keep your competitive edge? Are there perks that are
unique to this company? I had a client who had two equal offers
and finally took the position that had the best company perks.
4. Evaluate the Company: Is this the right company for you? Is it
in the right industry at the right size? Is this company financially
stable or in growth mode or targeted for a take over? What is
the reputation of the company or its relative position in the
marketplace? How would you describe its corporate culture or
value system? Just reading a corporate vision/mission
statement could be misleading. It is best to find answers
directly from your social network. What is the company's
employer's proposition? Why do people like to work there and
choose to stay there? Does this company provide professional
 growth opportunities and an employee friendly culture in which
to work?
5. Consider the Geography and the Environment: The last thing I
tend to look at is the physical environment of the company. If Page | 39

your position is working remotely, then this becomes a non-

issue. However, if you physically need to show up every day,
then the location may become important. Consider the impact
of the daily commute. Is there public transportation or do you
need to drive? Is the location of the company near your
network, or would the location isolate you from your
networking contacts? How would you evaluate the
neighborhood? I have had clients who turned down a position
due to the neighborhood in which they had to work. Does the
company provide flex-time or telecommuting opportunities? I
had other clients who turned down positions because they
didnt feel comfortable in the building. One client received an
offer from a hospital, but found the administrative building old,
worn down and musty. He decided that he didnt want to work
there.
 Page | 40

THE COMMON WISDOM IS THAT WE NOW LIVE IN THE AGE OF

INFORMATION; THE FREEDOM AND ACCESS WE HAVE TO DATA IS
UNPRECEDENTED IN HISTORY; AND THE EFFICIENCY AND CONVENIENCE
OF ONLINE COMMERCE, RESEARCH, AND COMMUNICATION HAS ALREADY
TRANSFORMED OUR LIVES FOR THE BETTER. WHILE THIS IS TRUE, OF
COURSE, OUR EXCITEMENT SHOULD BE TEMPERED BY THESE
REALIZATIONS:
WERE ONLY JUST BEGINNING TO DISCOVER WHAT POSSIBILITIES THE
INFORMATION AGE MAY BRING.
WERE AT THE VERY BEGINNING OF A MAJOR TRANSFORMATION IN THE
WAY WE WORK, PLAY, AND LIVE.

GUNNEMAN GIS & GEOMATICS IS SPECIALIZED IN THE TRANSFORMATION

OF EXISTING DATA TO USEFUL GEOGRAPHICAL INFORMATION.

GEOGRAPHICAL INFORMATION IS ONLY USEFUL IF IT IS RELIABLE, IF IT IS

GIVING INSIGHT AND IF IT ENGAGES WITH THE USER GROUP. GUNNEMAN
GIS & GEOMATICS OFFERS A WIDE RANGE OF CONSULTANCY AND
SERVICES TO ORGANIZATIONS DURING THE ENTIRE INFORMATION
PROCESS, STARTING FROM THE MAPPING OF THE INFORMATION NEEDS
TO THE SETUP OF THE PROPER INFORMATION FLOWS.
WE SERVE MANY GEOSCIENCE BRANCHES..
IN GEOLOGY AND MINERAL EXPLORATION DATA 3D VISUALIZATION
Page | 41
GEOTECHNICAL ENGINEERING DATA ANALYSIS AND DISPLAYING

08 Hutchinsonite
THALLIUM IS THE DARK TWIN OF LEAD. THIS THICK, GREASY
METAL IS SIMILAR IN ATOMIC MASS BUT EVEN MORE DEADLY.
THALLIUM IS A RARE METAL THAT APPEARS IN HIGHLY TOXIC
COMPOUNDS CONSISTING OF RATHER STRANGE
COMBINATIONS OF ELEMENTS. THE EFFECTS OF THALLIUM
EXPOSURE ARE EVEN MORE PECULIAR, AND INCLUDE LOSS OF
HAIR, SERIOUS ILLNESS THROUGH SKIN CONTACT AND IN MANY
CASES, DEATH. HUTCHINSONITE IS A HAZARDOUS BUT
DRAMATIC MIXTURE OF THALLIUM, LEAD AND ARSENIC. THE
THREE POISONOUS METALS FORM A LETHAL MINERAL COCKTAIL
THAT SHOULD BE HANDLED ONLY WITH GREAT CAUTION.
HUTCHINSONITE WAS NAMED AFTER JOHN HUTCHINSON, A
PROMINENT MINERALOGIST FROM CAMBRIDGE UNIVERSITY.
 THE MINERAL IS FOUND IN MOUNTAINOUS REGIONS OF
EUROPE, MOST FREQUENTLY IN ORE DEPOSITS.

Page | 42
BESIDES THE VISUAL PERCEPTION OF THE SPATIAL
DISTRIBUTION OF THE PHENOMENON, IT IS VERY USEFUL TO
TRANSLATE THE EXISTING PATTERNS INTO OBJECTIVE AND
MEASURABLE CONSIDERATIONS, LIKE IN THE FOLLOWING
CASES:

EPIDEMIOLOGISTS COLLECT DATA ABOUT THE OCCURRENCE 1

1 OF DISEASES. DOES THE DISTRIBUTION OF CASES OF A DISEASE
FORM A PATTERN IN SPACE? IS THERE ANY ASSOCIATION WITH
ANY SOURCE OF POLLUTION? IS THERE ANY EVIDENCE OF
CONTAGION? DID IT VARY WITH TIME?
WE WANT TO INVESTIGATE IF THERE IS ANY SPATIAL
CONCENTRATION IN THE DISTRIBUTION OF THEFT. ARE THEFTS
THAT OCCUR IN CERTAIN AREAS CORRELATED TO SOCIO-
ECONOMIC CHARACTERISTICS OF THESE AREAS?
GEOLOGISTS DESIRE TO ESTIMATE, FROM SOME SAMPLES, THE
EXTENSION OF A MINERAL DEPOSIT IN A REGION. CAN THOSE
SAMPLES BE USED TO ESTIMATE THE MINERAL DISTRIBUTION IN
THAT REGION?
WE WANT TO ANALYZE A REGION FOR AGRICULTURAL ZONING
PURPOSES. HOW TO CHOOSE THE INDEPENDENT VARIABLES
SOIL, VEGETATION OR GEOMORPHOLOGY AND DETERMINE
WHAT THE CONTRIBUTION OF EACH ONE OF THEM IS TO DEFINE
WHERE EACH TYPE OF CROP IS MORE ADEQUATE?
ALL OF THESE PROBLEMS ARE PART OF SPATIAL ANALYSIS OF
Page | 43
GEOGRAPHICAL DATA. THE EMPHASIS OF SPATIAL ANALYSIS IS
TO MEASURE PROPERTIES AND RELATIONSHIPS, TAKING INTO
ACCOUNT THE SPATIAL LOCALIZATION OF THE PHENOMENON
UNDER STUDY IN A DIRECT WAY. THAT IS, THE CENTRAL IDEA IS
TO INCORPORATE SPACE INTO THE ANALYSIS TO BE MADE. THIS
BOOK PRESENTS A SET OF TOOLS THAT TRY TO ADDRESS THESE
ISSUES. IT IS INTENDED TO HELP THOSE INTERESTED TO STUDY,
EXPLORE AND MODEL PROCESSES THAT EXPRESS THEMSELVES
THROUGH A DISTRIBUTION IN SPACE, HERE CALLED
GEOGRAPHIC PHENOMENA.

LOCATION: AGNEW, WESTERN AUSTRALIA.

PRODUCTS: GOLD.
OWNER: GOLD FIELDS LIMITED.
MINERAL RESOURCES AT 3.5 MOZ.
MINERAL RESERVES AT 1.2 MOZ.
LIFE OF MINE EXTENDS TO 2019 (7 YEARS).
LICENCE STATUS AND HOLDINGS
The agnew gold mining company proprietary limited (agmc), can
098-385-883, was Incorporated in australia in 2001 as the legal entity
holding and conducting mining activity on the Agnew mineral leases.
The gold fields limited group holds 100% of the issued shares of
AGMC Through its 100% holding in the issued shares of orogen
holding (BVI) limited. Agnew controls Exploration and mineral rights
over a total area of 57,836 hectares (total of granted tenements) and
has security of tenure for all current exploration and mining leases Page | 44

that contribute to future Mineral reserves.

OPERATIONAL INFRASTRUCTURE
One underground complex, mining from two separate ore bodies
(kim south and main north) accessed via declines. Centralised
administrative office, engineering workshops and one cip processing
plant (1.3 mtpa capacity).
DEPOSIT TYPE
Orogenic greenstone gold deposits hosted in a number of different
styles of lodes. Although all of the agnew deposits broadly occur at
the intersections between structures and stratigraphy, there are
subtle differences in alteration and mineralisation, that are
controlled in part by the local host rock chemistry.
REPORTING CODES GOLD FIELDS REPORTS ITS MINERAL
resources and mineral reserves in accordance with the 2007 Samrec
code, the south african codes for the reporting of mineral asset
valuation (2009 Samval code) and other relevant international codes
such as the united states securities and Exchange commission (sec)
industry guide 7, the joint ore reserves committee (jorc 2012) Code
and the national instrument (Ni) 43-101. The mineral resources and
mineral reserves are underpinned by an appropriate mineral resource
management process and protocol to ensure adequate corporate
governance in respect of the sarbanes-oxley act.
GEOLOGICAL SETTING AND MINERALISATION
Agnew is situated in the northern portion of the Norseman- Wiluna
greenstone belt, which is part of the yilgarn craton, A 2.6 ga granite
Page | 45
greenstone terrain in Western Australia.
The rock types in the belt comprise abundant tholeiitic and
Komatiitic volcanic rocks, chert, sulphidic and albitic Sedimentary
rocks, and a chain of discrete felsic volcanic Centres. The greenstones
of the agnew area have been Metamorphosed to upper greenschist,
lower amphibolite Metamorphic grades. Gold mineralisation is found
in quartz Breccia lodes, quartz tensional veining and disseminated
Arsenopyrite-pyrite-biotite mineralisation. This is developed along
the lithological contact between a sandstone and ultramafic
conglomerate and on other contacts within the ultramafic
conglomerates package. High-grade ore shoots Plunge steeply to
the north along these contacts. The controls on mineralisation are
dilational zones at the intersection of steeply dipping north-south
axial planar structures with the Stratigraphy. The stronger the
contrast in rock competency in these zones, the greater the potential
for mineralisation. Much of the yilgarn craton is deeply weathered
and partially covered by tertiary and quaternary regolith. Pre-
tertiary Lateritic horizons are variably exposed, stripped or buried by
later deposits that have in turn been lateritised. The depth of
Weathering is strongly controlled by original rock types, with mafic
rocks generally being more susceptible to weathering than felsic
rocks.

07 Galena
Galena is the principle ore of lead, and forms glistening silver cubes
with almost unnaturally perfect shapes. Although lead is normally
extremely flexible, the sulfur content of galena makes it
extraordinarily brittle and reactive to chemical treatment. Galena is Page | 46

capable of taking an equally heavy toll on workers and amateur

researchers who are exposed to it. Contact with specimens may lead
to lead dust exposure, while workers in mines face a high risk of
poisoning from contact with the mineral and the deadly dusts
released through production. Once extracted, the lead content from
this mineral poses environmental and health threats during
treatment and extraction. Galena has a cubic fracture, and if hit with
a hammer, the crystal will shatter into multiple smaller replicas of its
original shape.

06 Asbestos
Asbestos is not a manmade product, but one of most terrifying
minerals on the planet. Where other minerals act as toxins through
their chemistry and sicken victims of accidental poisoning, Asbestos
conducts full scale mechanical sabotage on the human lung.
Asbestos is a fully natural category of minerals composed of silica the
most abundant of Earths hard elements, iron, sodium and oxygen.
Asbestos deposits consist of aggregates of thousands of tiny, fibrous
crystals that can become airborne and lodged in the human lung.
Carcinogenic effects occur through persistent irritation of the lung
tissues, leading to scarring. Asbestos formations can also be
uncovered among any set of silica rocks, warranting caution when
exploring. Strangely, natural weathering leads to natural
distribution of asbestos in Earths atmosphere. As a result, many
humans carry some asbestos fibers in their lungs.

Page | 47

Such an item is a small reminder of the U.S.'s history in asbestos mining, as there
were many active asbestos mines across the country which supplied the once
thriving asbestos industry. The more notable asbestos mining areas were located
in California, Vermont, & Arizona, which ended production as recent as 2002.

However, although active asbestos mining may have ended in the U.S., the U.S. still
imports raw, processed asbestos, to the tune of 1,100-tons (2,200,000-pounds) in
2011 alone; not to mention the fact that asbestos is still "legal" to use in many
materials and applications in the U.S. and can still be found in building materials
right off the shelf. Tragically, it's true.

Ore The concept has undergone radical changes over the years. The
Institution of Mining and Metallurgy, UK, currently defines Ore as a
solid naturally occurring mineral aggregate of economic interest
from which one or more valuable constituents may be recovered
treatment.

4 Torbernite
Torbernite is the mineral from hell. The prism shaped green crystals
form as secondary deposits in granitic rocks, and are composed of
uranium. Formed through a complex reaction between
phosphorous, copper, water and uranium, the stunning crystal
displays have seduced many mineral collectors into taking a sample
for a shelf collection. If the uranium decay from a pocket sized
Chernobyl were not enough, lethal radon gas capable of causing lung
cancer slowly releases from these hot rocks. This is one crystal to
leave alone. Torbernite can occur in granite, so your stone
countertop just might contain traces of torbernite. The bright green Page | 48

crystal blooms were used by prospectors as indicators of uranium

deposits.

01 Cinnabar
Cinnabar (mercury sulfide) is the single most toxic mineral to handle
on Earth. The name of the crystal means dragons blood, and it is the
main ore of mercury. Forming near volcanos and sulfur deposits, the
bright red crystals signal danger of the worst kind. Cinnabar may
release pure mercury if disturbed or heated, causing tremors, loss of
sensation and death. In the Middle Ages and late 1700s, being sent
to work in Spanish mines containing cinnabar formations was widely
considered a death sentence. Cinnabar was widely used in Chinese
history for ornamental food dishes, and intricate carvings were
created from chunks of it, sometimes at the expense of the artisans.
Even more incredibly, some ancient medical practitioners believed
cinnabar held healing powers, and prescribed it for certain
conditions.

02 The Horizon Boulder Opal

This amazing opal was found on the 24th of February 2005, 81
kilometres north west of Quilpie at the Bill Mine. The Horizon was
found at a depth of 17 feet below the surface, under the desert
sandstone. The Horizon is on display in our store window in
Katoomba. This is a very rare piece of museum quality.
Page | 49
Dimension: Jadeite: 71.70 x 14.02 mm Weight: 264.25 ct.
Estimate From: $28000
Estimate To: $38000
The mottled dark green jadeite bangle of semi-translucence,
measuring 71.70 x 14.02 mm, with weight of 264.25 carat.

03 Koroit Opal Nuts Australia

Displaying Digital Elevation Model (DEM)/ (DTM)

1. Calculating Slope
It affects where structures or trails can be built, crops can be planted
or harvested, the speed of flowing water and consequent erosion,
landslide potential, and the list just goes on and on.
The Slope tool calculates the maximum rate of change from a cell to
its neighbors, which is typically used to indicate the steepness of
terrain. (0-90) degree.

2. Calculating Aspect
Aspect identifies the slope direction in compass degrees from 0 (due
north) to 360.
The aspect of a surface typically affects the amount of sunlight it
receives (as does the slope); in northern latitudes places with a
southerly aspect tends to be warmer and drier than places that have
a northerly aspect. Aspect is an important contributor to vegetation
and habitat type, as north-facing slopes often have very different
conditions and temperatures than south-facing slopes. Page | 50

Our Problem Vs Our Image!!!

All remote sensing projects begin with a problem we are trying to

solve: We may want to find out where the oil is, where to drill, the
best way to get to a drill site, and where to build a pipeline or a gas
plant for the least cost and with minimal environmental disruption.
We may wish to lay out a seismic program most efficiently or find out
where a competitor has shot a seismic program. We require a source
of water for drilling, for a coal slurry pipeline, or for keeping dust
down in a mining operation. If we are involved with mineral
exploration, we will be looking for any evidence of mineralization in
a new mineral province, or which direction to extend a known
deposit. We need to know the state of the terrain before mining so
that we know how to restore it to its pre-mining condition. Was there
natural acid drainage before mining or is it coming from the tailings
ponds?
In order to determine the best imagery to evaluate, we must know
what we are looking for. Is the area large or small? Does our problem
require us to see fine details (centimeters up to 10 m resolution),
moderate detail (20100 m resolution), or regional features (100 m to Page | 51
1 km resolution or more)? What scale do we wish to work with? Do
we need to detect color changes (e.g., lithology, alteration) or
vegetation stress? Is the area always under clouds? Is the area in a
polar region that has an extended dark season? Are we looking for
changes in moisture conditions? Is the area under water? Do we
require or want a certain date or specific time of year? Do we need
multitemporal (repetitive) coverage or historical coverage? Finally,
how much time do we have and what kind of budget do we have to
work with? Should we go to a vendor, the government, or process
the data ourselves? The answers to these questions will determine
the products that are acquired and the types of analyses that are
possible.
4. Curvature
Page | 52
Note
From an applied viewpoint, the output of the Curvature tool can be
used to describe the physical characteristics of a drainage basin in an
effort to understand erosion and runoff processes. The slope affects
the overall rate of movement downslope. Aspect defines the
direction of flow. The profile curvature affects the acceleration and
deceleration of flow and, therefore, influences erosion and
deposition. The plan form curvature influences convergence and
divergence of flow.
Displaying contours over a raster may help with understanding and
interpreting the data resulting from the execution of the Curvature
tool. An example of the process follows >>
1. Use Contour to create contours of the raster.
2. Create a slope raster.
3. Contours of the slope.
4. Add the curvature raster as a layer in ArcMap. Overlay the two
contour coverages just created, and apply different color symbology
for each.