Not new, but new to me; thus I introduce and write about it here so that you too may learn of this fascinating mining-related site. I refer to a site called Center for Excellence in Mining Innovation at this link. The site is in practice what they call MineDesignWiki, that is a Wikipedia type format, where you are encouraged to post new material.
At this link is the table of contents of the wiki. Material ranges from stages of mining through green mining. Nothing I can find on waste management. Most of the headings are not yet populated—pity.
There is some interesting and useful information there. For example a term I have not encountered before Venture Analysis, also called a pre-evaluation study, is defined thus:
- It involves 0% – 2% engineering.
- Cost estimate accuracy is “order of magnitude,” with costs based on experience, allowances, and rules of thumb.
- Bottom line contingency is unspecified, as it would imply an accuracy that is not supported in the study.
- Normal time required for submission of draft report is ±2 months.
- Normal cost range (if no supporting studies are included) is ±$25,000.
The site states the following regarding risk assessment at the venture analysis stage’
No formal risk assessment is carried out at this level of study. The focus is to identify any major project risks that may become “fatal flaws” for the project. These risks may include:
- Market risks: Is the product market stable, predictable?
- Permitting risks: Is the permitting process clearly identified and understood by all parties?
- Political risks: Is the country stable, strongly nationalistic, strongly anti or pro-mining, etc?
- Site access risks: Is the site accessible under all conditions?
- Cultural: Is there some existing mining culture?
- Availability of capital required for permitting, design, construction, and operation.
By comparison, a feasibility study is defined as
- 25% – 50% of the engineering tasks are complete
- Cost estimate accuracy is in the order of ±10% to ±20%
- Bottom line contingency is in the order of ±15%
- Normal time required for submission of draft report is ±18 months. Report reviews and final approval – variable, can add several months to project schedule.
- Normal cost range (includes supporting studies and test work – geotechnical, mineralogical, metallurgical, environmental, socio-economic, EIS submission, etc. but not exploration geology) will be in the order of 4.0% to 8.0% of the total project value ($8.0 – $16 million for a $200 million project) depending on the level of detail desired.
And the risk assessment for a feasibility study is described thus:
At the feasibility study level, a formal project risk assessment and risk registry (described in the Pre-feasibility study section) is completed as part of the study. If a project risk registry was set up during the pre-feasibility study, this risk registry is reviewed in detail and the mitigation strategies developed during the feasibility study stage are included. All risks are then given an updated risk/severity rating based on the feasibility study design. If any risks remain high (above an acceptable company standard) they must be identified in the feasibility study report and will be an important consideration in any decision to proceed further with the project execution.
Project financial and schedule risks are also assessed in detail, often using specialty resources (Monte Carlo simulations) in an effort to provide a recognized basis for the magnitude of schedule and estimate contingencies. These simulations will be run for all major cost items in the estimate, and for the critical path (and minimal float items) in the project schedule.
I note below what they say of risk assessment during the Scoping Study.
Any significant risks and opportunities identified during the course of the project study are listed in the report, along with plans of action for the collection of data required in order to better define and address the issues and/or assess the potential impacts more accurately. Normally there is no formal detailed risk assessment undertaken at this stage of study.
Nothing is said of risk at the feasibility study or detailed design phases.
There is much else of interest and insight here, but it appears to be in the early stages of development. Maybe you can help them expand. Contact the following, about whom I know nothing:
Glenn Lyell, R & D Program Director
Centre for Excellence In Mining Innovation (C.E.M.I)
PS. Here are links to some sections I looked at an quote from: