08 Prom Hill Mine Planning - Pheng Bounsombath & Larry Niels

Mine Planning Seminar - 2007
Thiess at Prominent Hill

Copper - Gold Mine
Pheng Bounsombath
Thiess Technical Services Manager
Prominent Hill
Larry Nielsen
Resource Development Group
Brisbane
Prominent Hill Copper & Gold Mining Project
Fact Sheet
100% owned by Oxiana

Located 650km NW of Adelaide, or
130km NW of Olympic Dam
Status: Pre-stripping; construction
Mining: Open pit 480m deep x
1.4km long x 1.2km wide
Ore mined: 8Mt/a at ave strip
ratio of 7.2
Mine to produce in second half
2008
Processing: Conventional
crushing, grinding and flotation.
Ave head grade 1.24% Cu. Ave
recovery 86% Cu, 77% Au.
Product: Ave 187,000 dry t/a
peaking at 230,000t in 2009.
Average grade: 45% Cu, 19g/t Au
& 57g/t Ag
Metal in concentrate: 104,000t/a
Cu in the first 4 full years;
71,000t/a for the next 6 years
115,000oz/a Au over the mine life
Mine life: 10 years initially
Market: Concentrate to be sold to
smelters in Asia & Australia
Workforce: FIFO; Up to 800 during
construction, and steady
workforce of about 400.
Prominent Hill Pit Stage 1
Mining Contractor: Thiess Pty Ltd
Thiess Workforce
Total of 153 at the end of September 2007

Staff = 26
Award = 127
Mining & Ancillary Equipment
3 x Liebherr 996 excavators

15 x 793 Cat rear-dump trucks; 3 more to arrive in October
1 x PV271 drill; more to come when drilling contractor starts
2 x small excavators: PC1250 for batter pulling, PC300 for general works
4 x D10 dozers
2 x graders: 24H & 16H
2 x loaders: Volvo L120 for blasthole stemming, 980G for general works
Excavators and trucks in action
Mining Engineering
Pit, Dumps, ROM Pad and Tailings Dam
Oxiana is responsible for creating an economically viable pit

Objectives are to maximise ore extraction, minimise waste removal for maximum
return on investment
Oxiana designs its waste dumps, ROM pad and tailings storage facility (TSF)
Oxiana also designs site drainage system
Thiess carries out mining in a safe, economic & efficient manner
Thiess is to deliver ore to the mill and ROM stockpile in a timely manner
Thiess is also responsible for waste dump construction & management
Thiess is responsible for design and management of pit dewatering
Survey
At present, Oxiana provides all the survey functions, which include:

Establishing a robust network through out the mining lease using GPS
Providing timely and accurate topographic surveys
Pegging overburden blastholes and, later, ore blocks and design lines
Undertaking pit volumetric surveys and calculations (Stock piles & ROM later)
Monitoring pit floor levels to design tolerances
Engineering and construction surveys
Mine Planning
Design & Schedule

Oxiana carries out pit design and revision
Oxiana provides weekly, monthly & quarterly
plans
Thiess checks and does short to medium- term
schedules based on its resources
Oxiana also is to provide long-term schedule
Thiess to carry out checks and generate its long-
term schedule
Balance ore & waste mining, when ore mining
starts
Drilling & Blasting
Drill & Blast Designs

Thiess carries out computer
designed patterns using Vulcan, and
drilling using a PV271
In December, Brandrill will take over
drilling. Thiess will continue with
design, loading & blasting
Survey control set out by Oxiana
surveyors
251 mm dia holes (229mm dia has
also been used)
Staggered pattern:
7.5m(B)x9m(S)x10m(D) with no
subdrill for overburden. Pattern(s)
for ore are still to be determined and
tested
Blasting consumables Thiess designs charging & loading
plans and firing sequences, using
Oxiana provides: SHOTPlus
ANFO
HI Explosives
Nonel detonators
Emulsions (not yet available)
Short-Term Planning
Preparation of drilling/blasting, mining, dumping plans and schedules: not new to

any mining professional who has been involved in mine planning
Key to success in implementing plan and schedule is the cooperation between those
who plan, those who provide equipment and those who carry out the tasks on the
ground
Be prepare to accept new ideas, suggestions and changes
Double bench wherever possible to minimise excavators moves, and to minimise
dozer power
Maximise equipment use by not splitting truck fleet wherever and whenever possible
When not enough trucks or operators, operate on short hauls more than on long
hauls
Use paddock dumping more than tip head whenever and wherever possible to
minimise the use of dozer power
Geology
The Prominent Hill deposit comprises copper-gold

and gold only mineralisation occurring within a large
haematite breccia complex that lies beneath
approximately 120m of overburden material. This is
comprised of a flat lying shales and clays with minor
sandy layers. The deposit dips steeply at around 80
degrees to the north and extends approximately 900m
along strike (East-West), 200m across strike (north-
south) and 700m below the surface. The base of the
deposit is yet to be defined.
Geology
The majority of the copper mineralization occurs

as chalcocite, bornite and chalcopyrite.
The 2006 Resource model contained the following
main mineralogical domains:
Chalcocite-bornite (CCBN)
Pyrite-bornite (BNCP)
Chalcopyrite-pyrite (CP)
Gold only (GOLD)
Material Properties
SGs get as high as 4

Mining / Dumping Schedule
Drill and Blast Scheduling
Level Plan ~ RL1100
Stage 1 - 4 Designs / ROM / Tailings / Dumps
North Dump
Camp
Stage 1
ROM Stage 4
Plant
South Dump
Tailings Pond
Mine EOM June 2007
DESIGNS: Stage 1
Stage 1:
Top: RL 1200
Base RL 980
Stage 2
Stage 2:
Base RL 908
Stage 3
Stage 3:
Base RL 836
Stage 4
Stage 4:
Base RL 740
Geological X Section
West To East Section: Stage Designs and Nov06 Surface
Problem Areas
NAF / UPAF / PAF Issues: Locality
NAF / PAF Issues on Dumps
EOM June 2008
EOM December 2008
Original Block Model - Section
May 2007 Block Model Section
Medium-Grade Hi-Grade
Low -Grade Low -Confidence

Prominent Hill Software Tool Kit
Vulcan
Designs / Block Models (Datamine) Reserves / ST & LTerm Plans / Hauls
Xpac
Schedule (Feasibility match)
Updated Scheduling.
Destination Scheduling / Trucking requirements
Talpac
Manual haul Cycle Times / Trucking requirements
3DDig
Client Dumping Strategy
Xact
Short Term Scheduling
Not Yet Ready???
Xpac and Destination Schedules
Special thanks to Shawn Barker
January Model:
Based on the GYRV (Goonyella) model:
15m Benches: 200 x 200m Blocks
Difficulty with utilising on PHill.
Shortest Travel Time Methodology Unsuitable (client requirements)
Able to point out flaws in Designs

Able to give a basic assessment of Trucking Requirements
Highlighted NAF/PAF dumping problems
September Model
Modifications to GYRV methodology. Difficult and largely unsuccessful
Client Dumping strategy could not easily be modelled
Problems with Logic
MATRIX of hauls built within Excel
Manual Dumping Assignment to meet Client Requirement
Haul Routes Xpac Stage 1
??????
Haul Routes Xpac : Exits and Dump Routes
North Dump: 200 x 200 x 15 Blocks
South Dump / ROM / Tailings Pond Dumps
Schedule V1R2-050107-Dest._Feb-2007
Matching AMC Schedule
Conforming Model (AMC)
Ore / Waste Flow & Stock Pile Inventories
Matching AMC Schedule
Xpac Scheduling
September 07 Model
5m Benches: 200 x 200m Blocks
Pit Status to June-07
InfoMine for Xpac model parameters (productivity / work hours / etc.)
Client Defined NAF / PAF Dumping Strategy.
Review Trucking Requirements due to Dumping Strategy.
Vulcan Block Delineation
July 2007 Model
ROM
South
Tailings
Pond
North
Productivity assessments
Productivities / Hours
Average ~ 1630 bcm/hr
Talpac Runs
Haul Profile
Travel Time Table
Trucking Requirements: Sept. 2007 Study
12 Month Plan: 3DDig
Xpac Destination Schedule
Conclusions
Short Term Schedule in Limbo

Drilling/drilling contract is still to be tested
Advanced Dump Scheduling Difficult and

questionable.
Use of various Tools may be better

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Mine Planning Seminar - 2007

Thiess at Prominent Hill

100% owned by Oxiana

Total of 153 at the end of September 2007

Mining & Ancillary Equipment

3 x Liebherr 996 excavators

Pit, Dumps, ROM Pad and Tailings Dam

Oxiana is responsible for creating an economically viable pit

At present, Oxiana provides all the survey functions, which include:

Design & Schedule

Drill & Blast Designs

Preparation of drilling/blasting, mining, dumping plans and schedules: not new to

The Prominent Hill deposit comprises copper-gold

The majority of the copper mineralization occurs

SGs get as high as 4

Low -Grade Low -Confidence

Able to point out flaws in Designs

Short Term Schedule in Limbo

Advanced Dump Scheduling Difficult and

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