Calculate the total drilling cost

Assignment Help Financial Management
Reference no: EM13311945

Part-1

Your company operates an underground nickel mine producing 1.2 million tonnes of ore at a grade of 2.8% nickel. The orebody dips at 70° fairly regularly and is extensive along strike and down dip. Orebody width varies between 14 and 30 metres and averages 25 metres.

Until now the method of stoping has been by the sub-level blasthole stoping method, however due to dilution problems from a weaker than expected dunite hanging wall the decision to change mining method to mechanised transverse cut and fill stoping has been made. The UCS of dunite is 30 to 110 MPa.

The ore consists of a fine pentlandite disseminated in quartz dolerite. The UCS of the ore averages 250 MPA in a small range. The ore tends to be massive with little evidence of jointing or other structural features.

Cut and fill stope widths are to be 8 metres with 4m separating pillars, pillar recovery is to occur at a later date. Mining will be by 3 metre lifts using horizontal benching. Mechanised drilling is to be employed and 3m3 LHD's are to be used to haul ore to the mill holes. The mill holes are to be equipped with grizzlies with 0.5m apertures.

Occasionally the ground will be wet, but dry conditions are generally experienced.

1. Design the drilling/blasting pattern showing hole diameter, hole depth, burdens, spacings, explosive types, primers and initiation system and indicate the initiation sequence.

2.Select drill types, makes and models and estimate the number of drill units required to maintain production at existing levels. For the purposes of this exercise assume adjacent stopes can be accessed through pillars and that a 2 production shifts per day system is used

3. Calculate average figures for tonnes/round and powder factors in kg/tonne

Part-2

A gold mine has just completed mining waste pre-strip prior to commencing grade control mining. The waste rock was drilled and blasted for the pre-strip using 200mm diameter blast holes using a rotary blasthole drill and achieved a mining rate of 15,000 m3 per day. Blast parameters for the pre-strip were:

1.Blasthole burden5.7m
2.Blasthole spacing6.5m
3.Bench height15m
4.Subgrade drilling1.6m
5.ExplosiveANFOdensity 0.85 g/cc
6.Powder Factor0.57 kg/m3

Fragmentation in the waste was acceptable for the excavators; these will be used for grade control mining as well as bulk waste mining. Grade control mining is to be undertaken using 115mm diameter holes to achieve sampling control; these will be drilled using a tophammer hydraulic drill. Bench height for grade control mining is to be 5m.

The waste rock has a density of 2,600 kg/m3, ore has a density of 3,200 kg/m3 due to sulphides and alteration minerals.

1.Scale down the waste blast parameters from 200mm to 115 mm diameter blastholes and determine explosive consumption in the waste and ore rocks.

Note: in addition to ANFO the full range of Heavy ANFO's is available from the supplier.

2. Determine the drill metres required to achieve a production rate from grade control blasting of 6,000 m3/day

3. The penetration rate for the hydraulic drill is estimated to be 50m/hr. Determine the drill productivity based on one rod change that takes 30 seconds going down the hole and 45 seconds withdrawing it from the hole. In addition two samples are collected, this stops the drill for 30 seconds per sample and tramming between holes takes 1 minute 30 seconds.

4. Based on two 12 hour shifts per day, giving an effective 10.5 hours of drilling (assuming two 30 minute crib breaks and a 30 minute service period at the end of each shift) will one hydraulic drill be capable of the required production?

5.Based on the following accessory life calculate the accessory requirements and cost:

ShankLife 600 mCost $130.00
CouplingLife 500 mCost $85.00
Drill Steel (3.6m length)Life 1000mCost $230.00
Drill BitLife 210mCost $165.00

6. Calculate the total drilling cost per m3 based on the following:

Drill fuel $9.50 per drill operating hour
Drill labour cost $22.00/shift hour
Drill maintenance $11.50/drill shift hour
Ownership cost $11.50/drill shift hour based on 20,000 hours working life

7. Calculate the total drill and blast cost based on the following blasting costs:
Explosives $550.00/tonne
Blast initiation $11.30/blasthole
Blast labour $80.00/tonne of explosive

Reference no: EM13311945

Questions Cloud

How to calculate the ph after the volumes of tirant : Consider the titration of 30.0mL of 0.050M NH3 with 0.025 M HCl. Calculate the pH after the following volumes of tirant have been added.
What is the coefficient of static friction : A force of 21.0 N is required to start a 2.8 kg box moving across a horizontal concrete floor. What is the coefficient of static friction between the box and the floor
What level is used for which application : Write a report on the 2 topics listed below-Clean room: What is it used for in industry? What level is used for which application?
Define energy is required to melt a tray of ice : The heat energy required to melt 1.00 g of ice at 0 degrees C is 333J. If one ice cube has a mass of 62.0 g, and a tray contains 16 ice cubes, what quantity of energy is required to melt a tray of ice cubes to form liquid water at 0 degrees C
Calculate the total drilling cost : Determine the drill metres required to achieve a production rate from grade control blasting and design the drilling/blasting pattern showing hole diameter, hole depth, burdens, spacings, explosive types, primers and initiation system and indicate ..
Calculate the initial and final kinetic energy of the system : A student sits at rest on a piano stool that can rotate without friction. The moment of inertia of the student-stool system is 3.5 kg*m^2. Calculate the initial and final kinetic energy of the system
What are the advantages of nuclear power : Describe fusion. What role does a tokamak play in a fusion reactor? What are the advantages of nuclear power
Explain since ammonia is better proton acceptor than water : Since ammonia is better proton acceptor than water, the ionization of acids is relatively enhanced in liquid ammonia. For example, acetic acid is a strong acid in liquid ammonia. part( a)Estimate [NH4+] (mol/L) in pure (i.e. neutral) liquid ammoni..
Display the values that were typed in to the form : This assignment will focus on creating Java Server Pages (JSP) and deploying them onto a Java Servlet Container.

Reviews

Write a Review

 

Financial Management Questions & Answers

  Pro forma income statement for organization

Make a three year Pro Forma income statement for your organization (or product/service) and include information on your financial break-even point?

  Do dividends grow at the same rate as earnings

Prepare a term paper on Do dividends grow at the same rate as earnings and is the Gordon Model fact or fiction

  What is the weighted average expected rate of return

What is the weighted average expected rate of return for all investments made in January and what is the weighted average actual rate of return for all investments ending in December?

  Variable cost-fixed cost and mixed cost

Distinguish between a variable cost, a fixed cost, and a mixed cost. Identify a publicly traded, well-known company, and identify what you envision would be a variable cost, a fixed cost, and a mixed cost for this company.

  Evaluate the current and quick ratios

Compute the current and quick ratios for each of the three companies. (Round calculations to two decimal places.) Which firm is the most liquid? Why?

  Statement of financial position

Income and Expenditure Account for the year and statement of Financial Position as at 30th April 2012

  Complete a preliminary analysis of the financial information

Complete a preliminary analysis of the financial information. Evaluate materiality based on the information you've been given and justify your calculation.

  Evaluate the costing process and procedures

Evaluate the costing process and procedures of the organisation with respect to method or approach utilised - capital decision making process within the organisation with regards to what methods are utilised, how such methods are chosen, how project..

  Calculate the expected return of stock a

Calculate the expected Return of Stock A, expected Return of Stock B, standard Deviation of Stock A and standard Deviation of Stock B

  Calculate the total return and not worry about how

Suppose that a security costs $1,500 today. a Calculate the percentage return on the security if the payoff to the security in one year is $1,000, $1,500, $2,000, or $2,500.

  Health care manufacturing downloaded from harvard cousepack

Case HEALTH CARE MANUFACTURING downloaded from Harvard cousepack, SEE THE IS/BS MODEL & FLOW DIAGRAM TABS -YOU ARE NOW WORKING WITH RATIOS, FORECASTS, VALUATION, POSSIBLY FINANCING

  What can be said about first-order autocorrelation

What can be said about first-order autocorrelation given the Durbin-Watson value of 1.8911 calculated from the three factor model residuals?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd