1

Prospecting and Exploration of Minerals

Name

Institution Affiliation

Date

Instructor

1. Introduction

Mineral are very important resources that foster economic growth of a country. The aim

of mining is to produce the minerals so that they benefit a company involved in the mining

process and country in general (Idowu, 2013, p. 1). The objective of this paper is to define

prospecting and exploration of minerals and their importance, legislations that govern mining

and National Parks in Western Australia, and the implication of the JORC Code. The paper

describes the information that engineering geologists provide to the technical service division

useful for the mine plan.

2. Define prospecting and exploration of minerals

Prospecting is the initial stage in mining process. It encompasses physical searching for

ores or other commercially valuable minerals. According to Idowu (2013, p. 2), prospecting

involves outcrop investigation, traversing, and identifying signs that show the presence of a

certain mineral. Currently, the process of prospecting relies on geology, novel methods such as

rock assay analysis and geological mapping. On the other hand, mineral exploration is the second
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stage in ore mining. It refers to the process of identifying mineral deposits in concentrations that

are commercially viable (Idowu, 2013, p. 2). Mineral exploration uses various measurements to

get a precise picture regarding the extent and the grade of the mineral ore. Mineral exploration

entails geological mapping, geochemical and geophysical technics as well as satellite imagery

(Geoscience Australia, 2015, p. 12)

Figure 1: A mining exploration activity

Exploration is a very important stage in the mining process. The main objective of

exploration is to identify new mineral sources that meet the needs of a country. The stage allows

for identification, evaluation, and preparation for mining (Eggert, 2010, p. 3). It is used to give

accurate information regarding the size and value of the mineral deposit at a certain location

3. Prospecting and exploration strategies

The strategies used for mineral prospecting and exploration are different. In mineral

prospecting, the most important factor to consider is that the mineral deposits can either be

located at or under the earth surface; as a result, indirect and direct prospecting strategies can be

utilized. The direct method only focuses on surface deposits and this entails visual examination.

In addition, geologic studies are also critical in the direct method. Geologic studies may include
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geologic maps, aerial photography, and assessment of the designated area (Nishiyama &

Kaneko, 2007, p. 3)

Mineral exploration strategies vary depending on the mineral itself, climatic and geologic

environment, resource availability, and political factors (Nishiyama & Kaneko, 2007, p. 5). A

firm can use grassroots exploration after identifying mineral deposits, the following by advanced

exploration technologies[CITATION Egg10 \p 3 \l 1033 ]. The objective of adopting grassroots

exploration is to identify promising a geologic deposit or mineralization that can be assessed

closely and the subsequent operations. Advanced methods of mineral exploration include the use

of geophysical and geochemical methods. Geophysical methods are used to determine factors

like gravity and electromagnetism in a particular area. Geochemical methods, on the other hand,

involves the chemical analysis of plants and rocks which can provide information about the

presence of a certain mineral in an area (Idowu, 2013, p. 4).

Figure 2: Infographic representation of common exploration strategies

4. Mining sites in Australia

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State and mine Share-holding Geological Major Ore Commercial

site Company setting (mode of bearing rock use(s) of

formation) type(s) economic

deposits
Victoria A1 Consolidated The A1 gold Diorite Gold is used

Gold mine consists of Gold is

A1 Project a narrow vein processed,

Located in like gold deposit refined then used

Walhalla-Woods that contains a for various

Point Goldfield diorite dyke purposes:

area bulge.

The site is about The dyke bulge Used for

120km east- is about 150 decoration and

northeast of metres long, 45 jewelry items

Melbourne metres, wide, and such as ear rings,

(Mining 700 metres deep. necklaces, and

Technology, The god brooches.

2018) mineralization is

located in Often used as

shallow, dip coinage metal

quartz veins, and standard for

occurring as monetary

stockwork zones systems in

or stacked sets several countries.

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(Mining

Technology, Gold is also used

2018) in chemical

industries and

electronics

(Blainey, 2017,

pp. 7-8)
Queensland Evolution Gold Carbonate Gold is

Mining Limited mineralization is Adularia processed,

Cracow Mine located in the dip refined then used

site low sulphidation for various

Located epithermal veins purposes:

approximately The veins are in Used for

500km northwest form of discrete decoration and

of Brisbane lodes with jewelry items

Situated on the varying such as ear rings,

traditional lands percentages of necklaces, and

of Wulli Wulli adularia, quartz, brooches

people and carbonate Often used as

(Evolution (Evolution coinage metal

Mining, 2015) Mining, 2015) and standard for

monetary

systems in

several countries
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Gold is also used

in chemical

industries and

electronics

[CITATION

Bla17 \p 7-8 \l

1033 ]
New South Alkane The gold deposit Sedimentary, Gold is

Wales Resources is found within volcanic, and processed,

the Eastern Belt intrusive rocks refined then used

Tomingley Gold of the first for various

Project Palaeozoic purposes:

Lachlan Orogen

Located in (Mining Used for

Tomingley about Technology, decoration and

15 km North of 2018). jewelry items

Peak Hill gold such as ear rings,

mine (Mining necklaces, and

Technology, brooches.

2018)

Often used as

coinage metal

and standard for

monetary
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systems in

several countries.

Gold is also used

in chemical

industries and

electronics
Western NewMont The Boddington gneissic and Gold is

Australia Company Gold Mine is granitic rocks processed,

Boddington Gold hosted in the refined then used

Mine (BGM) saddleback for various

Located greenstone belt. purposes:

approximately It is a fault bound

130km southeast silver containing Used for

of Perth (Mining shallow level decoration and

Technology, intrusive rocks jewelry items

2018) and Achaean such as ear rings,

volcanic rocks necklaces, and

(Mining brooches.

Technology,

2018) Often used as

coinage metal

and standard for

monetary
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systems in

several countries

Gold is also used

in chemical

industries and

electronics

[CITATION

Bla17 \p 7-8 \l

1033 ]
South Australia OZ Minerals The copper-gold Brecciated Copper deposits

Carrapateena deposit is shaped granite complex. are processed

Mine site like a near The main then used in the

Located about vertical pipe. copper-bearing electrical

160km North of It is located complex in the industry

Port Augusta about 500m complex is

(OZ Minerals, below an sulphides Copper

2017) unmineralized compounds such

rock cover (OZ as Fehling’s

Minerals, 2017) solution are

useful for

analytical

purposes.
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Gold is

processed,

refined then used

for various

purposes:

Used for

decoration and

jewelry items

such as ear rings,

necklaces, and

brooches.

Often used as

coinage metal

and standard for

monetary

systems in

several countries.

Gold is also used

in chemical

industries and
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electronics

5. Legislations in mining and reserved land (National Parks)

The increasing value of environmental conservation and sensitivity to environmental

issues has resulted in the enactment of legislations related to mineral prospecting and exploration

in areas that adjoins national parks and game reserves. According to the Australian Industry

Commission (1991, pp. 132-133), the Australian government prohibits exploration and mining in

national. Such activities are only allowed upon approval by the parliamentary houses in

accordance with the relevant legislations.

Undertaking a prospecting and exploration program in an area that adjoins a national park

like a new Greenfields mining venture needs to abide by various legislations. Some of the

legislations that I would need to be aware of and to comply with are, for instance those stipulated

by the government of South Australia in 2017. The acts require that the approval of the Minister

for Mining and Minister for environment before prospecting, marking out, or commencing

mining activities (Geoscience Australia, 2015, p. 30)

An individual can exercise the rights to enter, prospect, explore, or carry out mining in the

Crown land and one covered by National Parks and Wildlife, when he or she complies with the

following conditions (South Australia, Governor, 2017, pp. 1-2).

1. If the activities to be carried out in the prescribed land is regulated under the Petroleum and

Geothermal Energy Act 2000, the involved persons should ensure that-

a. The activity does not proceed until a statement of environmental objectives is

approved by the Minister for Environment under the prescribed Act

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b. The activity has to be performed in respect to the statement as approved.

2. If the activity to be performed in the land mentioned has not been authorized, the responsible

individuals should provide a three months notification of the proposed activity to both the

Minister for Mining and Minister for Environment with the detailed and clear information

regarding the proposed activity as required by the Minister.

3. If the Minister for Mining and Minister for Environment give directions to the responsible

individuals in writing in regard to-

a. Performing the activity with minimal damage to the prescribed land (including the

land’s wildlife, vegetation, and the general environment); or

b. Preserving historical sites and structures, and objects of cultural and scientific

interest; or

c. Restoring the land (which includes vegetation and wildlife) after completing the

activity; or

d. Restricting accessibility to certain sections of the land that the Ministers believe

would be adversely affected due to the activity

The individual should therefore comply with the above directions when performing

the activities (South Australia, Governor, 2017, p. 2)

4. If a management plan is in operation in accordance with the National Parks and Wildlife Act

1972 (Section 38), then the individual should consider the provisions of that particular

management plan

5. Further, the individual should-

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a. Take reasonably necessary measures to ensure that the historical sites and structures,

and objects of cultural and scientific interest, as well as the land’s wildlife and

vegetation are not interfered with; also

b. The areas of operations should be maintained clean and tidy; in addition

c. The individual should, upon completion of the activity, remove or obliterate all the

structures and installations (apart from those that the Minister for Environment and

Minister for Mining recommend to be retained) utilized solely for the purposes of the

activity.

6. If the Minister for Mining and Minister for Environment have not given direction under (3)

(c), the individual should (in addition to abiding by the agreed statement of environmental

objectives stated in (1), restore the land (together with its wildlife and vegetation), upon

completing the activity to the satisfaction of the Minister for Environment (South Australia,

Governor, 2017, p. 2)

6 The implication of JORC Code in Mining

The JORC Code entails a set of practices that focus on minimum standards that are used

for public mineral reporting, results of exploration, mineral resources, and Ore Reserves. The

code offers a compulsory system utilized when classifying, the results from mineral exploration,

ore reserves, and mineral resources in accordance with the geological confidence and reporting

in public reports (Stoker & Berry, 2012).

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The JORC Code has important terms that need to be used in public reports; they include

exploration targets, mineral resources, exploration results, and ore reserves. Other terms are

significant project, technical studies, and material change.

According to Stoker & Berry (2012), an Exploration Target is an estimation of the exploration

capability of a particular mineral deposit in a geological setting. Exploration Results refer to data

and information obtained from different mineral exploration programs that are useful to

investors. The information, however, does not cover a clear declaration of ore reserves or

mineral resources. Examples of such information may include geophysical survey results, assays

of drillhole intercepts, geochemical results, and outcrop sampling.

Mineral Resources, on the other hand, refers to the occurrence or concentration of solid

material that are of economic value found on or in the earth’s crust. They are in a form, quantity,

and quality reasonable for economic exploitation. All Public reports for mineral resources should

confirm that they are forecasted for economic extraction (Stoker & Berry, 2012).

Oral Reserves are the economic viable sections of measured mineral resources. It

involves dilution of minerals and allowances for losses, which takes place during mining or

extraction. A significant project is the exploration and mineral development project that

significantly impact on the operations of the responsible mining firm or the market value (Stoker

& Berry, 2012)

A material change is the variation in the projected grade, classification, and tonnage of

the Ore Reserves or Mineral Resources. The JORC Codes requires that a material change should

be taken account by considering all the relevant factors like the style of mineralization (Stoker &
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Berry, 2012). It also entails taking into account whether the variation in projections is more

likely to have a significant impact on the price or value of the company’s security.

Principles of the JORC CODE

The following are the basic principles of the JORC Code: transparency, materiality, and

competence

1. Transparency

According to Stoker & Berry (2012), transparency is an element of the JORC Code that demands

that the individual who reads the Public Report should be given adequate information and the

presentation done in a clear and unambiguous manner. This is to allow the person to understand

the report properly and to avoid being deceived by omitting relevant material information that

the Competent Person is aware of.

2. Materiality

Materiality is an element that demands that the Public Report needs to have all the necessary

information that is required by investors and their technical advisors. This information should

allow the persons involved in making reasonable and balanced decisions in regard to Exploration

Results, Ore reserves, or resource minerals that is under consideration. If the relevant

information is not provided the person responsible should explain why such information is

excluded[ CITATION Sto12 \l 1033 ]

3. Competence

According to the JORC Code, the public reports are supposed to be completed by a Competent

Person. A competent person is a profession in the mineral industry and also a member of The
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Australian Institute of Mining and Metallurgy. The person should also be recognized by the

Australian Institute of Geologists as stipulated in the ASX and JORC websites. In addition, a

competent person needs to have relevant experience for more than five years[ CITATION Sto12 \l

1033 ]. The experience should be in mineralization, the activity that is being undertaken or the

kind of mineral deposit.

7 Information the engineering geologist provide to the technical services division for the

whole mine plan

Engineering geologists plays a crucial role in the mining process. They provide

information to the technical service division for the entire mine plan. Information is provided in

form of geologic maps, aerial photographs, topographical maps, geographic information systems

maps, and the effective methodology to be utilized in the mining process (Bell, Cripps, Culshaw,

& O'Hara, 1987, p. 29)

The information obtained from aerial photography is important at the beginning of the

feasibility development stage. The aerial photos can reveal certain features which may not be

detected when ground methods are employed (Bell, Cripps, Culshaw, & O'Hara, 1987, p. 30)

According to Bell, Cripps, Culshaw, & O'Hara (1987, pp. 35-36), engineering geological

plans and maps are utilized for planning. In addition, since the information needed by engineers

and mine planners varies, different maps are used to meet their needs. The geological maps

provide information that help planners and engineers to effective plan for land use, locate the

designed areas, and construct and maintain geological structures. The geological maps also

provide the necessary information for evaluation of engineering geological features of the

environment, particularly those related to mining engineering, or regional planning. The

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information from the maps also enables mine planners to predict changes in the geological

environment that can occur as a result of the proposed mining process.

The engineering geological maps can also be utilized by the technical services division

for a specific or a multi-purpose. Bell, Cripps, Culshaw, & O'Hara (1987, p. 35) suggest that

maps prepared for a specific purpose provide adequate information about a specific element of

engineering geology such as mass permeability, jointing patterns, or grade of weathering. Also,

specific-purpose maps can be employed for zoning for land use, or provide information

regarding the geological conditions at a dam site.

The maps that engineering geologists provide to the technical service division may be

comprehensive or analytical. Comprehensive maps can either show all the main features of the

engineering geological setting or used for geological zoning. On the contrary, analytical maps

give details or utilized in evaluating individual features of the engineering geological settings. In

some instances, the geological maps the geological maps are produced in terms of grade

weathering, rock quality, or index properties (Bell, Cripps, Culshaw, & O'Hara, 1987, p. 36)

They help to recognize and interpret natural resources and provide an insight of how

mining processes impact human structures. They also help in understanding and mitigating

hazards that may arise from manmade or natural conditions (McCuaig, 2015). They aim to

protect life and property from destruction that can result from different geological conditions.

Further, engineering geologists provide robust genetic model and geometric model that

can prioritize the conversation of reserves and resources. They help in identification of potential

ore extensions and assessment of infrastructure sites. McCuaig (2015, p. 14) adds that

engineering geologists play a key role in effective implementation and optimization of the mine
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plan. They help in designing procedures for proper grade control; they mainly note where

geology can solve ore blocks

7. Conclusion

Mineral prospecting and exploration are the two basic stages in the mining process. The

primary objective of mineral exploration is to give accurate information regarding the size and

value of the mineral deposit at a certain location. In Australia, undertaking activities regarding

mineral prospecting, exploration, and actual mining is prohibited in reserved lands such as

National Parks and Reserves. However, such activities can only be carried out in accordance

with the stipulated guidelines and legislations. The public reports obtained from the geological

exploration activity must comply with the provisions of the JORC Code and the reports must be

completed with a competent person. Finally, engineering geologists plays a key role in the

mining process. They provide relevant information to the technical service division necessary for

preparing an effective plan. The information is provided in form of geologic maps, aerial

photographs, topographical maps, geographic information systems maps, and the effective

methodology to be utilized in the mining process

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Bibliography

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Blainey, G. 2017. Australia's 21st Century Gold Industry, pp1-49.

Eggert, R. 2010. Mineral Exploration and Development: Risk and Reward.

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