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Innovation and Technology in Underground Mining the Rio Tinto Perspective Santiago, 13 September, 2005

14 Septiembre, 2005

Presentation

Why Rio Tinto seeks innovation in

underground mining Achievements to date Current research programme Future Research

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Copper Output from Open Pits and Underground

Rio Tinto Production Share

1000 900 800 700 Contained Copper 1000 t 600 500 400 300 200 100 0 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Open Pit Underground

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Rio Tintos Block Cave Mines and Projects

Palabora (47%)
Project started May 1996 Service and Production shafts commissioned 2001 and production started. Full production at 30 000 t/d in 2005

Northparkes (80%)
Lift 1 complete Lift 2 production build-up E48 Pre-Feasibility Study ongoing

Freeport (15 to 40%)

DOZ currently producing in excess of 40 000 t/d Kucing Liar Deposit potential 60 000 t/d Grasberg Underground 110 000 t/d by 2020

Argyle (100%)
Feasibility Study ongoing Exploratory Decline underway Production start-up planned for 2007 20 000t/d

Resolution (55%)
Exploration ongoing Pre-Feasibility Study started - 100 000 t/d planned

Bingham (100%)
Pre-feasibility study completed Currently assessing options
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Achievements to-date
Caving in hard rock Caving of high lifts Advanced inclined
undercut One-shot blasting of drawbells Rapid build-up of production Advanced hoisting techniques Roadway construction

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Innovation Model

Best Practice Transfer Collaborative forums communities of practice Lessons Learned Workshop Operations test and evaluate Head Office funded External research groups

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External Researchers

JKMRC (University of Queensland) International Caving Study CAMIRO (Canada) Safe Rapid Development DEEP AMIRA (Australia) SIROVISION - Underground Swansea University ELFEN Code Camborne School of Mines FracMan Code

University of British Columbia

Subsidence
Central Mining Institute Katowice, Poland Seismic Tomography
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Current Research
Block Caving
Flow Fragmentation Prediction Caving mechanics Subsidence Rock Characterisation
a) Fracturing

b) Shear stress

Safe Rapid Development Mine Automation Safety

Increasing Shear and fracture generation in abutment arch

TECHNICAL SERVICES

Copper Output from Open Pits and Underground

Rio Tinto Production Share

1000 900 800 700 Contained Copper 1000 t 600 500 400 300 200 100 0 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Open Pit Underground

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Planned Development
70,000 60,000

50,000

40,000 Metres 30,000 20,000 10,000

0 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

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Historical Mine Development Rates

30.0 25.0 Metres per day 20.0 15.0 10.0 5.0 0.0 1940

1960

1980 Year
10

2000

2020

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Improving Development Cycle

The Development Cycle
5% 27%
Support Installation Services Service s
NS LS NS

29%
Drilling

LS SS* SS1

24%
Mucking

14%
Loading

Existing design

At face demand

Improve support and minimise time in cycle

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Future Research
Continuous loading from
drawpoints Development drilling and blasting integration Underground crushing mineral sizers In situ leach of caved ore Automation of secondary breaking equipment
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