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Revaluing mine waste rock for carbon
capture and storage
a
Michael Hitch , Sheila M. Ballantyne & Sarah R. Hindle
Norman B. Keevil Institute of Mining Engineering, University of
British Columbia, Vancouver, BC, Canada, V6T 1Z4
Published online: 15 May 2009.
To cite this article: Michael Hitch , Sheila M. Ballantyne & Sarah R. Hindle (2010) Revaluing mine
waste rock for carbon capture and storage, International Journal of Mining, Reclamation and
Environment, 24:1, 64-79, DOI: 10.1080/17480930902843102
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International Journal of Mining, Reclamation and Environment
Vol. 24, No. 1, March 2010, 6479
Revaluing mine waste rock for carbon capture and storage
Michael Hitch*, Sheila M. Ballantyne and Sarah R. Hindle
Norman B. Keevil Institute of Mining Engineering, University of British Columbia, Vancouver,
BC, Canada V6T 1Z4,
Downloaded by [McGill University Library] at 00:24 01 October 2013
(Received 14 October 2008; nal version received 23 February 2009)
Many mining wastes, especially those from the metal mining industry, have
traditionally been treated as a matter of little or no value and in practice a cost
burden. Some wastes, because of their reactivity characteristics, have emergent
values that go beyond purely economic and into the environmentally benecial
realm. This article discusses the changing paradigm of mine waste management.
Such fundamental parameters, such as cut-o grade and strip ratio, are positively
impacted by the revaluation of waste rock material. Mine rock waste can now be
seen as a commodity of value similar to the underlying ore being mined, which
inuences the economic performance of suitable projects. This valuable material
can be used for industrial purposes including acid neutralisation as well as the
capture and long-term disposal of anthropogenic carbon dioxide. The Turnagain
Nickel project, located in Northern British Columbia, serves as an example of
how waste rock material can become an important matrix for carbon capture and
sequestration and how a project can benet economically from it. By producing
material that has emergent economic value as well as carbon capture and
sequestration capabilities, the sequestration matrix producer is a beneciary of
new carbon credits that have a market value and is looked upon favourably by
regulatory authorities and aected stakeholders.
Keywords: carbon capture and sequestration; mine waste management; reactive
mine wastes
1.
Introduction
Historically, materials that do not contain ore minerals, industrial minerals, metals,
coal or mineral fuels, or when the concentration of these materials is sub-economic,
have been considered mine waste. These materials must also contain commodities
with a concentration great enough to be mined protably. The notion of cut-o is
used to dierentiate waste rock from metalliferous ore. Cut-o is determined by the
market value of the ore in each unit of rock that is mined compared to the cost of
mining that unit. As a result, every mining operation has a dierent cut-o and
criteria for the separation of waste from ore. Unfavourable economics, inecient
processing, technological limitations or mineralogical factors may not allow for
complete extraction of the sought-after mineral at the time of mining. In the past,
inecient mining and processing techniques have resulted in the production of waste
ISSN 1748-0930 print/ISSN 1748-0949 online
2010 Taylor & Francis
DOI: 10.1080/17480930902843102
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International Journal of Mining, Reclamation and Environment
65
that is relatively high in metal concentrations. During times of higher metal prices
these wastes have become ore once again.
Changing circumstances may turn a particular waste into a valuable commodity
for a number of reasons; the economic extraction of the resource may now be
possible using improved technology, the market conditions for the commodity may
have improved, or a market has been found for the previously unwanted material.
What may be waste to some miners can be important and useful resources to other
consumers, now or in the future. Yesterdays waste can become todays resource.
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2.
Waste generation during mine operations
The mass excavation of mineralised material produces waste rock. This material is
commonly drilled, blasted and hauled to a permanent storage location and disposed
of in stockpiles. Generally, these stockpiles or dumps are large and represent
complex geotechnical structures. The heterogeneous nature of the material stored in
waste dumps and the method of placement favours material segregation. This
process determines the geotechnical and hydrogeological behaviour of the pile. The
internal architecture of the pile is inuenced by the materials grain size, porosity,
hydraulic properties, alteration of rock forming minerals, and the dynamics
associated with water (e.g. precipitation, evaporation, runo, seepage and water
retention).
The handling and storage of mine waste constitutes a nancial cost to the mine
operator. Estimates suggest around 1.5%3.5% of the total operating costs are
associated with mine waste management [1]. A direct, positive impact on the project
cash ow can be realised from the revenue of a saleable mine waste product. An
obvious indirect benet can be realised if creating this product results in reducing the
size and area of the waste rock storage facility, thus reducing the environmental
footprint of the operation. A smaller waste dump requires less capital expenditure at
the end of the mine life for rehabilitation, closure and long-term monitoring.
Rehabilitation of mine sites is a legislative requirement throughout Canada and
in many parts of the world. Mining companies commit to a program of
rehabilitation from the onset of operations. If the program is developed eectively,
it incorporates the handling and storage of topsoil, waste rock and tailings in such a
way that will assist in the nal rehabilitation of the sites. Mine planners must
therefore consider the movement of materials, as well as the most appropriate
storage of materials to minimise disturbance and amount of work required for site
rehabilitation.
The potential economic return of the commodities to be mined drives mine design
and operation. According to Hustrulid and Kuchta [2], optimisation of an open pit is
an economic exercise where the cost of removing overlying unmineralised waste
rock just equals the revenues including prot. Simply put, cut-o is determined
when nancial infeasibility or high operating costs prevent the mining of an ore
block in sequence. The optimal cut-o grade varies directly with anticipated changes
in commodity prices and can change dramatically during the life of the mine. All
material that falls below the cut-o grade is designated as waste and material above
the cut-o grade is classied as ore. Cut-o grades drive the amount and sequence of
mining waste and ore, and leads to the development of the open pits strip ratio.
Strip ratio is equal to the amount of waste rock mined to release or uncover ore
material. High strip ratios imply more waste rock is produced to release a unit of ore
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66
M. Hitch et al.
when compared with operations of low strip ratios. Dening these materials is
predominantly determined by comparing the revenues and the cost of extracting the
commodity being mined. Fluctuating commodity prices poses one of the greatest
risks to consider during mine planning and operation. Prices are determined on a
global scale subject to the actual or perceived supply and demand for them. Pricing is
uid and is inuenced by macroeconomic and geopolitical factors that are beyond
the control of a mine. The common methods used to mitigate risks associated with
unpredictable commodity prices include the use of forward sales contracts, hedging
and long-term smelter contracts. Successful mines also build in the capacity to adjust
strip ratios to respond to commodity pricing.
An important consideration is the chemistry of the waste rock material being
disposed of. Potential long-term impacts of weathering and subsequent release of
deleterious liquors and dissolved metals determine how waste is handled and stored.
3.
Composition and characterisation of mine waste
Every mine produces its very own unique waste. This waste requires characterisation, prediction, monitoring, treatment and secure disposal. The ultimate composition is determined by the geology of the ore being mined and the host rocks.
Although every mineral deposit is dierent in many ways, there are similar genetic
features (i.e. mineral suites) of each particular deposit type. It follows that waste rock
composition and chemistry also share certain features. This applies to most types of
metalliferous, coal and industrial mineral deposits.
Successful utilisation of mine waste rock may not be possible if the material has
the potential to ultimately cause environmental harm. These materials, for example,
may contain heavy metals (e.g. cadmium, antimony etc.), trace elements such as
selenium, mercury and arsenic, or dissolved metals like iron and copper. Waste
containing sulphide minerals pose the greatest environmental risk because of
oxidation and subsequent acid production. Characterisation of the waste and
assessing any technical diculties in its use is essential if it is to be considered for
industrial use. A waste pile must be evaluated with the same technical rigour as the
evaluation of the primary mineral or minerals being mined. For the purpose of this
discussion, mine waste rock is categorised by its relative reactivity under certain
physiochemical circumstances.
3.1. Varieties of reactive wastes
The chemical weathering of a mineral can be classied an acid producing (i.e.
generation of H), acid buering (i.e. consumption of H) or buering reaction (i.e.
no generation or consumption of H). For example, the weathering of pyrite (FeS2)
is an acid producing reaction, whereas the weathering of calcite (CaCO3) is acid
buering. The dissolution of quartz (SiO2) does not consume or produce any acid.
The balance of all chemical reactions in a waste pile determines what pH any
leachate might be.
All minerals are reactive under certain circumstances based on their composition.
They behave dierently under varying heat and pressure conditions. For example,
some materials consume acid, either natural (dissolved carbon dioxide and sulphate)
or anthropogenic, during the weathering process under normal atmospheric
conditions.
International Journal of Mining, Reclamation and Environment
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3.1.1.
67
Sulphidic mine waste
Sulphidic mine waste is produced by the sulphide minerals contained within it. Large
amounts of sulphides are associated with ore deposits and disposed of as a result of
mineral processing. These wastes are stored in tailings ponds, rock dumps, heap
leach pads and stockpiles. When these wastes are exposed to the atmosphere,
including gasses, meteoric waters and microorganisms, the sulphide minerals become
chemically unstable. Acid waters form with dissolved metalloids, heavy metals and
sulphates. The leachate is commonly referred to as acid mine drainage, or the
preferred term acid rock drainage (ARD). This is one of the most common
environmental issues facing the mining industry today.
Pyrite is the most abundant of the sulphide minerals and is commonly associated
with many metallic ore deposits. This mineral and its chemical behaviour, given its
highly reactive and acid producing nature, has been studied exhaustively [36].
3.1.2.
Acid buering
As mentioned above, the oxidation of pyrite releases hydrogen ions into solution.
Oxidation can be prevented and the acid consumed through buering reactions as a
result of contact with other suitable minerals in the waste. Weathering of silicate,
carbonate and hydroxide minerals cause such buering and consumption of
hydrogen ions.
3.1.2.1. Silicates. Silicate minerals make up the majority of the earths crust and
comprise a major reservoir of buering capacity. Chemical weathering of silicate
minerals consumes hydrogen ions through congruent or incongruent weathering.
Congruent weathering involves the complete dissolution of the silicate mineral and
the production of only soluble components. Incongruent weathering is the more
common form of silicate weathering, whereby the silicate mineral alters to another
phase [7].
3.1.2.2. Carbonates. Carbonates also play an important role in acid buering
reactions. Minerals such as calcite (CaCO3), dolomite (CaMg(CO3)2), ankerite
(Ca(Fe,Mg)(CO3)2) and magnesite (MgCO3) are common buers of acidic liquors.
Calcite is the most important because of its ubiquitous distribution in many
mineralising systems. Calcite neutralises acidic solutions by dissolving and
complexing with hydrogen ions to form bicarbonate (HCO37) and carbonic acid
(H2CO3) [8].
4.
Potential uses for reactive mine rock waste
Much has been written about the potential use of mine waste for other purposes
[7,912]. The uses vary from aggregate and ll material to structural additives for
civil engineering applications. Some waste materials also have certain chemical
properties or trace elements that make it attractive as a Portland cement additive or
that are used in the ceramics industry. As pressures to lower carbon emissions
increase and carbon trading schemes develop the emerging technology of using
appropriate mine waste for the permanent storage of anthropogenic carbon
emissions could oer signicant economic opportunities as well as a practical
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M. Hitch et al.
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solution to lowering carbon emissions. It can even be argued that there are
potentially more applications for use and reuse of mine waste rock than perhaps for
the ore commodity(ies) being mined initially.
4.1. Conditions for the protable application of mine waste
As discussed above, the utilisation of mine waste and its reassignment as a saleable
product can have a positive impact on a projects economic performance. Under this
scenario, the question arises of how to assign a value to this material. One method
suggested by Scott et al. [13] is treating the waste rock as either a by-product or coproduct of the primary metallic mineral being mined. A market must also exist or be
developed that requires the physiochemical characteristics of the waste rock
material being mined. Scott et al. [13] proposed four scenarios where mining waste
products may be marketed successfully:
(1) The waste becomes a bulk product for a local market with minimal or no
processing.
(2) The waste is a low unit value product and a cost-eective alternative source
of minerals for local industry.
(3) The waste is a source of an industrial mineral commodity, traded nationally
or internationally.
(4) The waste contains a high unit value rare mineral for which there is high
demand internationally.
Scott et al.s perspective is clearly derived from a mineral operation with good
access and infrastructure available to allow delivery to a consumer. In the case of
many mines, particularly in remote areas or ones that operate on a y-in, y-out
basis, the mineral product desired has to be of extraordinary value for it to be
protable to extract.
By denition, a co-product is produced along with a main product and carries
equal importance as the main product. An example might be a polymetallic deposit
such as a volcanogenic massive sulphide (VMS) deposit that has the capacity to yield
lead, zinc, and copper simultaneously. A by-product, however, is not a planned
product and is produced after carrying out the process. For example, ethanol is a byproduct of sugar production. In a mining context, a copper smelter may recover
precious metals such as gold during treatment and rening. When examining cost
proles, co-product costs are settled with an apportionment structure whereby each
product is assigned a proportion of the costs associated with producing it. In the case
of by-product, the revenue is credited against the costs of the total material being
mined. The costs are not apportioned and are treated as a whole. The potential value
of mine waste rock, as by-products or co-products, will lead to the reprioritisation of
mining.
4.2. Economics of waste rock utilisation
A distinct advantage of using waste rock for value-added applications is that the cost
of mining is incorporated into the traditional mine plan. In most cases, waste rock
mining is part of the mining process and sophisticated planning and scheduling
techniques determine its volume. Mining costs, such as drilling, blasting, waste
International Journal of Mining, Reclamation and Environment
69
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loading and haulage to a dump facility are standard. As a result, the majority of
costs associated with mining and hauling value added waste are borne by the regular
movement of strip ratio waste. The only additional handling costs that would be
incurred by the operation for the sale of waste would include sizing and crushing to
meet the clients specications. Rehandling of the material at a loading point for
further transportation may also be required.
The cost of transportation of the waste rock may be on either a free on board
(FOB) basis, where the buyer bears the cost and risk of moving and delivering the
material, or a cost insurance and freight (CIF) basis, where the seller assumes the
cost of delivery.
4.3. Determining a mine waste rock value for CO2 sequestration
This section proposes a new, two-step method to determine the valuation of waste
rock for CO2 sequestration. The rst step employs a cost of carbon credit approach.
The second step applies the equation derived in the rst step to the generally
accepted equivalent grade approach, as used for many polymetallic deposits and
mines.
The calculation is a two-step process and can be represented mathematically as
follows:
4.3.1.
Step 1. Cost of carbon credit method
VSM VSMU CC SE CSM TFOB
where, transportation is borne by the buyer or,
VSM VSMU CC SE CSM TCIF
where, the mine assumes the cost of transportation.
The notations of the algorithm
Notation
Explanation
Unit
VSM
VSMU
CC
TFOB
TCIF
SE
CSM
Value of sequestration matrix rock
Value of sequestration matrix rock unit
Cost of carbon credit
Transportation cost FOB
Transportation cost CIF
Sequestration eciency
Operating costs to produce sequestration matrix
$/tonne
tonne
$/tonne
$/tonne mile
$/tonne mile
%
$/tonne
4.3.2.
Step 2. Equivalent grade method
The equivalent grade is a synthetic value of a by-product or co-product commodity
in terms of the primary metal being mined. This methodology is quite commonly
70
M. Hitch et al.
used in cases where the relative abundance of that accessory mineral can augment the
economic return from mining and processing of the commodity sought. An
illustration of this practice is represented mathematically as follows:
Copper equivalent (x) polymetallic mine example,
v
x j pj
therefore,
x v=pCu
xj pj =pCu
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where, pcu denotes the copper price, where xj and pj are the grade and price of
recoverable metal j in the deposit, respectively.
The notations of the algorithm
Notation
Explanation
Unit
V
J
xj
pj
pCu
Deposit value
Price
Primary commodity grade
Accessory commodity price
Price of the primary metal
$
$/tonne
$/tonne
$/tonne
Any value added waste product, such as sequestration matrix rock, can be
substituted for pj, and px can be substituted for pcu where another metal is the
primary ore.
The challenge of this method is including a reasonably accurate determination of
the sequestration potential (SP) of the waste rock being considered. Like any mineral
deposit, the determination of the distribution of sequestration matrix depends on
reliable 3D data preferably represented in a computer generated block model.
Not unlike mineral grade over mineralised lengths, the SP of the waste material
can be used in detailed geostatistics such as ordinary or indicator kreiging
and inverse distance weighting. By constructing and validating the data statistically,
a clear picture of the distribution of SP rock would emerge. The mine
plan and schedule would be developed to optimise production of ore and
sequestration matrix material, while minimising the production of non-sequestration
waste rock.
4.4. Carbon sequestration by mineral carbonation
Environmental sustainability and responsibility has become an integral aspect of
modern industries, and the mining industry in British Columbia is certainly no
exception. Rising concerns over anthropogenic contributions to global warming
through excessive greenhouse gas (GHG) emissions are creating demand to improve
environmental practice, with many new environmental action plans currently in the
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International Journal of Mining, Reclamation and Environment
71
works. Although the implementation of these policies will be an invaluable addition
to current environmental practices, it is important to assess the economic and
nancial implications these regulations will have on the industry.
Recent breakthroughs in carbon sequestration research have shown that mineral
carbonation is a realistically feasible practice that may have the potential to
sequester large amounts of carbon in stable carbonate minerals. In a thermodynamic
context, carbonate minerals are the most stable form that carbon can take [14]. This
is extremely important in carbon capture technologies because leakage, commonly
attributed to other CO2 sequestration options, is prevented by forming naturally
occurring and inert by-products. Mineral carbonation simply takes advantage of and
accelerates the natural weathering process of silicate rock and its tendency to react
with ambient CO2 to form carbonate minerals.
Mg-silicates are ideal minerals for use in mineral carbonation. The relatively low
solubility of alkaline earth metals promotes the fact that sequestered carbon is stable
on a geologic time scale, thus reducing the risk of CO2 leakage over time and
increasing the storage options available [35]. These metals are also relatively
invaluable in other applications and are abundantly found worldwide in silicates
[15]. Mg-silicates are preferred versus Ca-silicates because they contain more reactive
material per tonne of rock and are also more readily available [16].
4.5. Turnagain nickel project: waste planning for carbon capture and sequestration
The Turnagain nickel site in Northern British Columbia is an interesting example of
an operation that may have the ability to reconcile the divide between mining and
the environment. The abundance of Mg-silicate minerals such as olivine
((Fe,Mg)2SiO4) and serpentine (Mg3Si2O5(OH)4) at the Turnagain site makes it an
idea location for further investigation into potential mineral carbonation applications using waste rock.
The Turnagain deposit is hosted in an ultramac complex (Turnagain complex).
Surface showings and extensive exploration data indicate that this ultramac
body covers a total area of 24 km2 and is composed predominantly of a dunite core
with peripheral wehrlites, clinopyroxenites and hornblendite. The olivine at
Turnagain is Mg-rich with forsterite values ranging from Fo83 to Fo96, contributing
to their suitability for CO2 sequestration. Weak to intense serpentine
alteration occurs commonly at the Turnagain site [17,18]. The massive amounts of
Mg-silicate at Turnagain, both as olivine and serpentine, makes for an ideal
substrate or matrix for carbon sequestration by mineral carbonation and warrants
consideration of its sequestration potential along side the proposed potential nickel
production.
Previous work by Scheel [18] provided a detailed assessment of the major oxide
values for a variety of rock lithologies at the Turnagain site. Combining the wt%
MgO of a representative proportion of rock types at the site with the estimated
tonnage of waste rock to be produced from a proposed mine, it is possible to provide
a rough preliminary estimate of the ideal carbon sequestration potential at
Turnagain.
The experimentally derived wt% MgO varies greatly within the Turnagain suite
and from sample to sample, with representative samples containing wt% MgO
values from 16 to 50% for hornblende clinopyroxenite and dunite, respectively [18]
(Figure 2). Taking into consideration the intense serpentinisation of many of the
72
M. Hitch et al.
Turnagain rocks, it is important to include a serpentine wt% MgO of 3845%. For
the purposes of this preliminary estimation of the ideal carbon sequestration
potential at Turnagain, we have assumed a 100% conversion rate where one tonne of
wt% MgO can sequester one tonne of CO2 [19,20]. Equation (5) expresses an
approximation of the amount of CO2 able to be sequestered at Turnagain, where R is
the total amount of CO2 sequestered [19].
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R wt % MgO waste rock tonnage
A preliminary assessments of the Turnagain property done in 2006 proposed
two separate zones within the Turnagain deposit; one in the Main Horsetrail Zone
and another in the Northwest Zone (Figure 1). Estimated tonnage of waste rock to
be produced from these two cones is 171,420 kt and 14,778 kt, respectively. The
Main Horsetrail Zone is estimated to contain *5% olivine clinopyroxenite
(22 wt% MgO), 25% wehrlite (40 wt% MgO) and 70% dunite (47 wt% MgO).
Using Equation (5), the Main Horsetrail Zone has the potential to sequester
75,424,800 t CO2. The Northwest Zone is estimated to contain 40% wehrlite and
60% dunite, therefore capable of sequestering 6,531,876 t CO2. In total, the
Turnagain site is estimated to have an ideal CO2 sink potential of 81,956,676 t CO2
Figure 1.
Simplied geologic map of the Turnagain ultramac intrusion [17].
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International Journal of Mining, Reclamation and Environment
73
Figure 2. Core sample from Turnagain showing Ni ore and its Mg-silicate host (From Hard
Creek Nickel Corporation).
over the course of a proposed 29-year mine life. Assuming a constant production rate and waste rock lithology, Turnagain should ideally be capable of
theoretically sequestering *2,826,092 t CO2 per year.
5.
Implications of revaluation of mine waste
The revaluation of mine waste has economic, sociological and environmental
implications and could improve the sustainability of mining practices. For the
purpose of this discussion, we will focus on the economic implications.
5.1. Cut-o grade
Cut-o grade is the criterion normally used to discriminate between ore and waste
within a mine operation. Waste is either left in place or sent to waste dumps, whereas
ore is sent to a treatment plant for further processing. Cut-o grade directly aects
the cash ows of a mining operation, because higher cut-o grades indicate higher
concentrations of the sought mineral(s) per ton of ore. Revenues are dependant upon
the grade distribution of the deposit [21]. Lane [22] and Land [23] developed a
comprehensive theory of cut-o grade calculation. In his approach, Lane
demonstrated that a cut-o grade calculation that maximises the net present value
(NPV) must include the xed cost associated with not receiving the future cash ows
sooner due to the cut-o grade decisions taken now. The equation for cut-o grade,
when the concentrator is the constraint, is given below:
gm
c f Fi
P sy
where, gm is the milling cut-o grade, f is the xed costs, Fi is the opportunity cost
per ton of material milled in year i, P is the prot ($), s is the selling price ($/unit of
product) and y is the recovery (%).
74
M. Hitch et al.
Opportunity cost is a key concept in Lanes theory. Every action or activity at a
mine site has an opportunity cost. These costs are not only nancial or economic and
measured in dollars and cents, but also social, aesthetic and environmental in nature,
which are dicult to quantify. The opportunity cost is determined as:
Fi
d NPVi
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C
fa
c
where, fa is the annual xed costs and C is the milling capacity.
Much has been written concerning Lanes theory and modications have been
made to improve its eectiveness [21,2429]. In their recent article, Oslanloo et al.
(2008) [30] layer in environmental costs to Lanes original equation, with respect to
management of acid generating waste in a hypothetical porphyry copper deposit.
Their model is as follows:
MaxNPV
N
X
CFi
i0
1 d i
!
9
where,
CFi Si ri Qr mi Qmi ai Ai
Qmi Qci bi Bi Qmi Qci ci
Qci ui Ui Qci Qri vi Vi Qci Qri
f d NPVi T
10
or,
CFi Si ri ui Ui vi Vi
Qri mi ai Ai bi Bi Qmi
ci ai Ai bi Bi ui Ui vi Vi
Qc f d NPVi T
where, the following constraints remain:
QMi M for i 1; . . . ; N
Qci C for i 1; . . . ; N
Qri R for i 1; . . . ; N
Qri g y Qci
Ai Bi 1 and Ui Vi 1
11
International Journal of Mining, Reclamation and Environment
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The notations of the algorithm
Notation
Explanation
Unit
gm
I
F
Fi
P
N
P
S
M
C
fa
Y
D
CC
M
C
R
Qm
Qc
Qr
R
U
V
U
Cut-o grade value
Year
Fixed cost
Opportunity cost
Prot margin
Mine life
Metal price
Sales cost
Mining cost
Processing cost
Fixed annual costs
Recovery
Discount rate
Capital cost
Mining capacity
Milling capacity
Rening capacity
Material mined
Ore processed
Concentrate rened
Marketing cost
Non acid generating (NAG) tailings to Dump 1
Acid generating (AG) tailings to Dump 2
NAG tailings disposal cost
AG tailings disposal cost
S
SP
MP
NSP
Nsp
Commodity sales price
Sequestration material to stockpile
Sequestration material sales price
Non sequestration material to dump
Non sequestration material disposal
operating cost
$
$/tonne milled
$
Years
$/lb
$/lb
$/tonne
$/tonne ore
$/year
%
%
$
tonnes/year
tonnes/year
tonnes/year
tonnes/year
tonnes/year
tonnes/year
$/tonne product
$/tonne tailings to
Dump 1
$/tonne tailings
to Dump 2
$/tonne of product
tonnes
$/tonne
tonnes
$/tonne waste to
Dump 1
This view of Lanes technique can be further rened to take into account
the revealed value of waste (e.g. as a matrix or medium for the sequestration of
anthropogenic carbon). This can be represented mathematically as follows:
MaxNPV
N
X
CFi
i0
1 d i
!
12
where,
CFi MPi ri Si ri Qr mi Qmi ai Ai
Qmi Qci mi SPi Qmi Qci ci
Qci nspi NSPi Qci Qri ui Ui Qci Qri
f d NPVi T
13
76
M. Hitch et al.
and the following constraints remain true:
QMi M for i 1; . . . ; N
Qci C for i 1; . . . ; N
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Qri R for i 1; . . . ; N
Qri g y Qci
The impact of introducing another revenue generating product into the
production plan, particularly with relatively low apportioned operating costs,
directly improves the protability of the operation. By enhancing or optimising the
projects cut-o grade, the planner actually lowers the minimum grade. Including a
value added by-product can result in marginal project becoming feasible.
5.2.
Strip ratio
The impact on the projects strip ratio is similar to that of the cut-o grade. By
taking what was once a net cost item and revaluating it as a co-product or byproduct, the strip ratio of the project decreases because a greater percentage of the
material mined has value. The costs associated with mining this new value added
material can be apportioned to the overall strip of waste (by-product basis) or netted
against any possible revenue from the sales (co-product basis). In either case, the
revenue stream from the revaluated material will be greater than the costs associated
with mining it in the rst place.
5.3. Carbon management
As climate change policies evolve, operations will be dened by their amount of
greenhouse gas emissions. The development of mineral carbon sequestration could
make suitable mines greenhouse gas neutral and could possibly become netsequesters. This has great implications for the role of mines with mineral
carbonation capabilities in future carbon policies and regulations. Under marketbased policy approaches, such as a cap and trade system (e.g. British Columbias
2008 Greenhouse Gas Reduction Act and the European Unions Emissions Trading
Scheme), rms that exceed a regulated carbon emissions limit will have to buy credits
from rms that emit below the set limit or rms that sequester carbon. In such policy
arrangements, a suitable mine would be able to provide (or sell) carbon oset credits
to rms that exceed their carbon emissions limit. Alternatively, mine waste suitable
for mineral carbon sequestration could be sold to a rm which would then use the
waste as part of its own operations to lower its carbon emissions [31]. The long-term
costs of global warming have been deemed too high to not act [32]. Thus, setting a
price on carbon is inevitable and essential to lowering emissions. Successful
operations will be those who embrace climate change policies and incorporate the
costs and benets into their business plans [33].
All climate change policies are developed in response to the genuine concern for
the environmental eects of CO2 emissions. There is a growing consensus amongst
political and economic analysts that policies successful in curtailing carbon dioxide
International Journal of Mining, Reclamation and Environment
77
emissions in a timely manner will require, in part, the use of carbon capture and
storage technologies [34]. As part of a climate change plan, mineral carbon
sequestration would not only provide a potential nancial asset to a suitable mining
operation, it would be part of a practical and lasting solution to lowering greenhouse
gas emissions.
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6.
Summary and conclusions
The waste from mining operations often has certain chemical properties, which have
the potential for use in other industries. Detailed evaluation of the waste materials
chemistry, specically its reactivity, dictates its end use. By its nature, relative to the
ore material being mined, waste rock has no value. Under a scenario whereby rock
waste can be used in an alternate industry, it gains value and immediately inuences
technical aspects of operations such as strip ratio, cut-o grade, and consequently
the projects overall economic performance.
This article has attempted to illustrate a developing mining project that can
produce a mineral product as a co- or by-product that has far reaching value. The
implications of this shift in the value of solid mine wastes improves the projects
economics by increasing the revenue generating resource, reducing the amount of
non-revenue generating material that has to be mined and land-lled, and by
having a positive impact on the capture and sequestration of anthropogenic CO2
emissions.
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