EXPLORATION GEOLOGY (RECONNAISSANCE) Flashcards
Stages of an Exploration Project (Eimon, 1988)
Conceptual Planning
Detailed Planning
Reconnaissance Exploration
Target Appraisal
Exploration Drilling
Assessment Drilling
Mine Dev’t
Extraction
Rehabilitation
What would be the outcome of reconnaissance?
Selection of an Area for detailed Groudnwork
Planning - Regional Selection
Recon - Area Selection
Planning Stage of Activities
1) Selecting Commodity and Type of Deposit
2) Exploration Methods Selection
3) Setting up an Exploration Organization
The process of selecting Drilling areas or targets within licensed blocks
Target Selection
Drilling Proper of the Areas or Targets
Target Drilling
Who are the exploration players?
1) Private Sector - w/ substantial capital based generated either from existing mineral production or from investors on stock markets
2) State Organization - on more centrally directed economies, state run companies, geologic surveys (In PH, PMDC, PNOC, MGB)
Key Factors to Exploration Planning
1) Location and Demand for Products - areas of growth in demand, which for metals are the industrializing countries around the Pacific Rim
2) Metal Prices-
Review of Price cycle
Supply and Demand Forecast
3) Host Country Factors
4) Structure of Mining Industry - Compettition from existing producers which can be a barrier
How does a company chooses its exploration strategy?
Depends on the objects of the company and its willingnes to take risks
What are the two ways of exploration strategies for new entrants into a country?
1) Exploration by Acquisition of existing Prospects (Brownfields) - more costly but lesser risk
2) Grassroots (Green Fields)
Characters of a successful exploration Team
1) People-Oriented High Quality Staff - trained
2) Sound Basis of Operations
3) Creative and Productive Atmosphere
4) high Standard of Performance, Integrity and Ethics
5) Entreperenuerial Acumen - Innovation is forstered in High Risk, Hig Reward Environment
6) MOrale and Team Spirit - have “can do” attitude”
7) High Quality of Communication between top mgmt and geologists
8) Has a Specialist Pre-Devt Group (Exploration to Mine Devt Transiiton Team)
Most effective size of an exploration team?
7-10 Geologists
What is the problem with larger exploration groups?
Tend to become too formalized and bureaucratic which leads to inefficiency
What can be the strategy of large mining groups to remain competitive?
Divide its explorationists into semi-autonomous Groups
What can be the basis of dividing exploration groups
1) Geographical Location
2) Deposit Types
During the Reconnaissance Satage, where is most work carried out?
in the National Head office or State Office
What are the departments under the VP for Explo
Exploration
Geophysics
Geological Reasarch
Staff Functions
Mines Geology
Considerations for Explorations Costs
1) Expenditures within an organization
2) Within the context of a project
Who decides for the budget within the exploration (General Budget)
Exploration Geologist
Who decides for the project specific budget?
Project Geologists
Where are the finances of corporate exploration sourced?
1) Existing Production
2) Investors (Selling shares on stock market)
What are the considerations for budget allocations per regional offices?
?Salaries
?Equipment
?Office Rentals
?Vehicular Leases
What can be the basis of percentage of allocation?
Performance Evaluation though a techincal review
What is the Advantage of Project Based Budgets?
1)Accurate Monitoring of Expenditures
2) Can be written Off againts Production
What are the costs on desk Study stage?
1) Salaries - Nominal Staff cost per month*2 (to cover pension)
2) Housing Costs
3) Secretarial Support
?Vehicles or Helicopter Transport
How can exploration costs estimated?
Asking for quotations from contractors
When will Desk Studies commence?
Exploration Org is in place
Initial Finance Budgeted and
Target deposit type selected
What are the essential data that need to be reviewed during Desk Studies?
1) Background Geology (Structures, Altertaions)
2) Data on the Occurrence of Currently Producing Mines and Prospects and their economic status
Advantage of using Landsat?
Highlights areas of Hydrothermal Alteration within Arid Areas
What Remote sensing data can be used for areas of dense vegetation?
Side-Looking Radar
For Smaller Areas what type of remote sensing Data are used?
Aerial Photographs
What are the types of Regional Geophysics which can be used during desk studies?
Airborne Magnetics,
Radiometrics
Regional Gravity Data
Regional Drill Hole Logs
Regional Sesimic Surveys
Where can an exploration company get info for mineral occurrence in localities?
Geol Surveys (Ph - MGB)
Two types of Regional Maps useful in desk Studies
1) Mineral OCcurence Map - shows location of occurrence of deposits
2) Metallogenic Maps - shows the form of the deposit and associated elements overlain on a basemap
What are the Economic Information useful during Desk Studies?
1) Historical Grades and Tonnages Mined
2) Recovery Methods Used
3) reason For Stopping mining
(Can be obtrained in journals from company reports)
What is the primary aim of reconnaissance?
1)To evaluate rapidly the areas of interest highlighted during desk studies
2)To generate previously unknown tragets preferably without aking out licenses
What are the first activties in a reconnaissance exploration?
1) Check geology and accessibility of the area (Can be by land or by air)
2) Verify on the ground some ot the data that emerged during Desk Studies
3) Check on Competitor Activity
What can be the divisions of Reconaissance in terms of goals?
1) To locate mineral prospects Directly
2) To delineate area
Principal Reconnaissance Tool for Detecting mienralization?
1) Ariborne EM Geophysics
2) Stream Sediments or Lake Sediment Geochem
What do exploration companies need to aquire?
Right and not the land itself
Right to the surface of the land
Surface Rights
Right to Mine
Mineral Rights
What is a private model of land acquisition?
?Agreement with a private mineral owner who may both owns the surface rights an the minerals rights
?No Need for reporting
What is a state model?
?A model in which the state own the mineral rights (like PH)
?Exporation license must be made or apploed to the MGB
?Normally requires Reporting of Exploration Results annuallyy
What is essential for a mining company during Land Acquisition?
Legal Advice from a lawyer or land person
What are the major component os sustainable devt?
1) Environmental
2) Social
3) Governmental
4) Technical
5) Economic
a document describing the problems that mining will cause and the rehabilitation programs that will be followed once mining has been compelted?
EIS (Envi Impact Assessment)
What are the essential part or contents of EIS?
1) Condition of the Envi before dev’t
2) Surface Descriptions with Photographs,
3) Geochem Analyses indicating background levels of metals and acidity
4) Water Levels and Flows
What is a must have in terms of Social Aspects of exploration or mining?
1) Well Informed local community in terms of progress
2) Informed consent and approval of the community for any devt project
3) Social License to Operate
What is a must do during initial meeting or contact with the local population?
1) Carefull Planning
2) There must be an intermediary - Local Officer
3) Process of exploration and possible outcomes must be explained thoroughly so that unrealistic expectation are not reaised
4) Local labor and purchasing should be used wherever possible and trainings should likewise be provided
What are the caution in dealing with the Government?
1) Must be handled carefully by senior level management and care should be taken that agreement are not in conflict with relations at a community level
What are the must do in terms of Health and safety?
1) Assessment of hazards
2) First Aid Trainings
3) Driving training in poor road surfaces
