Exploration and mining –

innovation for sustainability

Exploración y minería - innovación
para la sostenibilidad

John Thompson
PetraScience Consultants Inc.
 Outline
• Energy demand – link to metals
• New discoveries – quality
– Models, data, technology
– Deposit characterization
• Variability – opportunity for value
• Clusters – synergies
 Human transition
• 1 to 3 billion people to a basic level
– access to electricity – promotes education
– heat without use of wood, charcoal, coal, dung
– sanitation and clean water
– nutrition

• Primary solutions: funding and organization

• Requires energy and metals
The energy-metal connection
Number of metals used – complexity

WEF 2017 minerals key to clean energy

Technology – the low carbon economy
Technology
• Communication, materials, defense

Clean energy
• Wind turbine: 1.5 MW = ~185t steel, 3t copper, + “REE”
• Solar PV, LED lighting, Batteries: complex suites of metals

Tesla 100MW battery storage, Delta, Ontario

Hornsdale windfarm, South Australia
 Transportation
Planes to cars
• “Lightweighting” – steel aluminum
• Electric/hybrid cars: 2-4 x copper in conventional cars
• Hydrogen fuel cells: nickel, platinum….
Electric cars
– metals:
Iron
Aluminum
Copper
Titanium
Lithium
Cobalt
Nickel
Boron
Graphite
Gold
 Clean energy-related metal demand
World Bank 2017: Study to determine amount of metal required
to deliver clean energy and efficient transportation (electric
vehicles) to restrict climate change to 2oC or 4oC by 2050

Metal % increase by 2050

Aluminum 207
Copper 174
Nickel 139
Lithium 1060
Cobalt 1060
• Major commodities and minor/specialty metals
• 70 Lithium-ion battery plants – planning and construction
(Simon Moores, Benchmark Minerals Intelligence – US Senate Committee, Energy
and Natural Resources, Feb 2019)
How can we meet increasing demand?
• Increase production at existing mines
• Find and develop new resources
– At surface, below surface and at depth

• Business as usual – implications

– Bigger mines – lower concentrations of metal
– Deeper mines – increasing complexity
– More energy, water and tailings
 Chuquicamata – underground
• MMH – Chuquicamata –
Radomiro Tomic zone Radomiro Tomic
– Reserves: 22.5 Mt Cu
– Resources: 107 Mt Cu
(Codelco Annual Report, 2017) 20 km Chuquicamata
Annual production: ~3-4%
of global mined Cu
• Chuquicamata – going
underground by 2021
– 140,000 tpd
MMH
– Technological and
societal/cultural
challenge
Can we align mining and sustainability?
 New “quality” discoveries
• Quality: economic, environmental and societal values
• Critical ingredients
– Models: practical, conceptual and predictive
– Data: field, real time, remote – interrogated and used
– Technology: drones to drills
 Target definition and testing

Conceptual models
– Temporal and spatial
models related to
empirical features
and ore forming
process
– Identify scale and
nature of footprints/ Sillitoe, 2010
zoning patterns
 Porphyry deposits – summary
• Reasonable understanding
– Arc and post-arc magmatic processes
– Relatively young: processes and preservation
– Magmatic fluid release, phase separation, cooling,
wallrock reactions – horizontal and vertical zonation

• Poor understanding
– Fertility – arcs, magmatic centres, deposits
– Centers and clusters – role of magma chambers
– Local controls – giant deposits, timing-duration, focus
 Pacific arcs – porphyry Cu deposits
Varying Cu content
of Silurian-Miocene
Pacific margin arcs

Why?
Majority of the Cu
in the young arcs –
Paleocene to
Miocene

Why?

Sillitoe, 2012
 Andean metallogeny
• Permian porphyry Cu mineralization Sn-W-Ag

• Jurassic-Cretaceous arc/back-arc:
IOCG-IOA + manto, porphyry
• Eastward migration of belts:
Paleocene to Miocene (Cu-Mo)
• Miocene belts Au (Cu)
– Distinct Au-rich regions (+ Cu, Mo)
– South: Miocene-Pliocene Cu-Mo
– Northeast: Bolivian Sn-W-Ag

Cu-Mo
Cu-Mo

Adapted from Sillitoe, 2012

 Spatial periodicity of deposits
• Porphyry centers/clusters
in Chile – Eocene and
Miocene belts: 75-150 km
spacing
• Controls
– Subduction processes
– Domeyko fault system
(Eocene)
– Mid-crustal batholiths
– Cross-structures
Salfity, 1985, Richards et al., 2001
– Self-organizing systems
Hayward et al., 2018
Eocene Miocene
 Clusters – magma chambers?
• Model: multi-phase mid-
crustal composite plutons
• >100 km3 magma
• Volatiles + Cu, S…. in late
phases
• Many questions…..
Sillitoe, 2010

Wilkinson, 2013
 Grasberg, Irian Jaya

• An exception….
• Multiphase porphyry system
(~3 Ma) focused in single
site/vent
+ Surrounding skarns – Ertsberg
Why?
• #2 in copper production
(750,000 tonnes/yr)
 Exploration stages
Target Target Prospect Resource Scoping Feasibility Project
Generative Definition Testing Testing Delineation Study Study Development

STAGE 0 1 2 3 4 5 6 7-9

Area selection
and assessment
Target development
and testing
Evaluation – building
resources

Reserve and mine plan

Increasing data
More precise measurements Near-mine/project exploration
Increasing certainty – mineral inventory
 Systems, footprints and targets
• Regional tectonics and architecture
Preservation

Trap Dispersion

Transport

Source Deposit
Metals, ligands, hydrocarbons target
1-5 km
Energy driver Footprint
10s km
Regional processes
100s km
 Deep roots of a mineral system
• Olympic Dam – IOCG CU-Au-U (REE)
Woomera Olympic
• Olympic Dam: $1
Ohm.m
ROX006ROX001

ROX003

ROX005
ROX011ROX006

ROX014ROX009

OD20 ROX011
ROX012
ROX013
ROX014

ROX017
ROX018

ROX019
ROX020
ROX021
ROX022
ROX023

ROX024
ROX025
ROX026
ROX027

ROX031

ROX033

ROX035

ROX037
trillion ore body –
ROX005rox000

rox007

rox015
rox016

rox029

rox038
(North)
ROX017OD01
OD02
OD29 OD03
OD04
OD05
ROX018OD06
OD07
OD35 OD08
OD09
OD10
ROX019OD12
OD40 OD14
OD15
ROX020OD16
OD17
OD18
OD19
ROX021OD20
OD22
OD23
OD50 OD24
OD25
ROX022OD26
OD27
OD28
OD29
OD30
OD31
OD32
OD34
OD35
OD38
OD40
ROX025OD41
OD42
OD43
OD44
OD69 OD46
OD45
ROX026OD47
OD48
OD49
OD50
ROX027OD52
OD53
OD78 OD54
OD80 OD55
OD56
OD57
OD58
OD59
OD60
OD61
rox029 OD62
OD63
OD64
OD65
OD66
OD67
OD68
OD69
ROX031OD70
OD71
OD72
OD74
OD75
OD76
OD78
OD79
ROX033OD80
(South) Dam Ohm.m
1000
ROX001

ROX003

ROX009

ROX012
ROX013

ROX023

ROX024

ROX035

ROX037
794
rox007

rox015
rox016

rox038
00 01000
mantle roots
OD01
OD02
OD03
OD04
OD05
OD06
OD07
OD08
OD09
OD10
OD12
OD14
OD15
OD16
OD17
OD18
OD19
OD22
OD23
OD24
OD25
OD26
OD27
OD28
OD30
OD31
OD32
OD34
OD38
OD41
OD42
OD43
OD44
OD45
OD46
OD47
OD48
OD49
OD52
OD53
OD54
OD55
OD56
OD57
OD58
OD59
OD60
OD61
OD62
OD63
OD64
OD65
OD66
OD67
OD68
OD70
OD71
OD72
OD74
OD75
OD76
OD79
631

0
-10000 Brittle upper crust 0
-10000 794 501

398
631
20
-20000 -20000 501
• Magnetotelluric
316
0 -10000
0
-30000 Ductile lower crust -20000
-30000 398
316
251
200
-40000
40 -40000 251
0
0
-50000
-30000
-40000
-50000 200 maps conductivity
158

126

158 100

0
-60000
60
Fluid / melt -50000
-60000 126
pathways – fertile
79
(km)

-70000 -70000 100 63

0 Upper mantle -60000
pathways ? zones?
79 50
Depth (m)

-80000
80 -80000 63 40
0 -70000
Depth

-90000 -90000 50 32
0 -80000
• Proxy for
40 25
-100000
100 -100000 32 20
0 -90000
-110000 -110000 25 16
0 -100000
hydration
20 13
-120000
120 -120000 16 10
0 -110000
-130000 -130000 13 8
0 -120000
0
-140000
140 -130000
-140000 8
10
(alteration), fluids,
6
5

-150000 -150000 6 4
0
0
-160000
160
-140000
-150000
-160000 4
5
sulphides or
3
3

-170000 -170000 3 2
0
-180000
180
-160000
-180000 2
3 graphite
2
1
0 -170000
2 1
0 20 30 40 50 60 70 80 90 100 110 120 130 140 150 160 170 180-180000
190 200 1

Depth (km)
Distance (Km)
1

20 30 40 50 60 70 80 90 100 110 120 130 140 150 160 170 180 190 200
Distance (Km)

Richard.Blewett@ga.gov.au
RFG2018 June 2018
 Regional data - crustal scale
• Australian approach: multiple scales of data
(Richard Blewett, 2018)

Lithosphere-
Asthenosphere
boundary

Major deposits

Czarnota et al., 2016

Richard.Blewett@ga.gov.au
RFG2018 June 2018
 Mapping the top 500m
• Airborne electromagnetic (AEM) – 20km line spacing

20 km 1000 km
Richard.Blewett@ga.gov.au
RFG2018 June 2018
 Generative technology
• Mapping – tools and software
• Geochronology – better faster methods
• Petrological fingerprinting/micro-analysis
• Mapping the mantle – technology
• Regional geophysics
• Remote sensing
• Regional geochemistry
– New media and improved analytical techniques
– Indicator minerals
 Systems, footprints and targets
• Regional tectonics and architecture
• Signatures: fertility and vectors
Preservation
Zircon crystals

Trap Dispersion
100μm
Transport

Source Deposit
Metals, ligands, hydrocarbons target
1-5 km
Energy driver Footprint
10s km
Regional processes
100s km
 Technology – autonomous drones

Image Acquisition
50 min
Flight

www.stephanepeloquin.com
 Technology – autonomous drones

OrthoMosaic
DEM Generation

Image Processing (Same Day)

 Technology – geophysics
• Airborne, ground and downhole methods
• Inversion and integration
• Seismic: increasing use and potential
 Irish Zn-Pb exploration
• Shallow prospects are
(mostly) mature
• Covered basins completely
underexplored
Navan

Dublin

50 km

“Mature” Areas
Tara Mines, Navan Deposit (photo courtesy of Boliden)
Past/Present Zn-Pb Mines
Hewson, 2015; Teck Resources Past/Present Zn-Pb Prospect
 Irish Zn-Pb Deposits: Navan
NW SE
Mine opening – 1976
>110 Mt @ ~10% Zn+Pb

Brownfield exploration at Navan requires deep exploration

Navan

Modified from Blakeman et al, 2002, Chant-Tuft et al, 2014 500m

Depth to target horizons? Defined

Classification of faults? Defined
Direct detection? Complex ?
30
Or much more? YES…

1 km
Hewson, 2015; Teck Resource
Innovation – maps

The geological map

William Smith, 1815

Siron, 2014
 Supporting Techniques

• Field-based technologies
– Mineral spectroscopy (SWIR) and
geochemistry
• Lab-based analysis
– XRD, Rietveld Analysis
– SEM-EDS, MLA/QEM-Scan
– Electron Microprobe
• Lab to field technologies
– Scanning of full core (VIS-SWIR-LW)
– Real-time geochemistry at the rig

Results of Corescan™ spectral analysis, Cu Porphyry veining

 Target testing and evaluation
• Drilling – resource-reserve delineation
• Faster drilling, quicker results
More targets tested
More success
 Data organization and use

Data to knowledge
– Data quality – QA/QC
– Interrogation, visualization and
integration with conceptual
models
– Neural networks, self-
organizing maps, artificial
intelligence
 Deposit-scale understanding
• Kişladağ – 16.8 MOz Au
• High level porphyry system – eroded lithocap
• 14.76 ± 0.01 to 14.36 ± 0.02 Ma
• Zoned alteration
Argillic
Advanced
argillic
White mica -
tourmaline

Potassic -
projected

Baker et al., 2016

Kişladağ - alteration
 Core scanning
Rock scale – paragenesis
Core Class White White Mica
Photo Map Mica
Chemistry
Crystallinity
Deposit scale – zoning
White Mica Chemistry – Crystallinity
(~2200nm wavelength)

2185nm 2196nm 2212nm 2225nm

Increase in Na Increase in K/Al Fe substitution

(Paragonite) (Muscovite) (Phengite)

Class Map Index

White mica Chlorite

Kaolinite Montmorillonite

Sulphide

Example of Corescan™ spectral analysis : variations in white micas, porphyry Cu-Au

 Data to knowledge to exploration
• Massive amounts of field, survey, and laboratory data
• Data integration and interrogation
– Patterns, vectors – targets and conceptual ideas
– AI/machine learning – to search for subtle or unknown
relationships: the 21st century prospector
• Context – new and modified deposit models
– Apply to regional generative exploration
– Utilize in mine/deep exploration: 3D data integration,
target definition, prioritization including efficient
development scenarios, and rapid testing
 Understanding variability
Geology, mineralogy, structure – ore deposit type
Grade distribution – at different scales
– Exploration and blast hole data
Ore and waste character and variability
– Chemical, mineralogical, textural & structural data
Ore types to geometallurgical domains
Alteration mineralogy: Geometallurgy
• Hardness
– Harder: e.g., quartz, feldspar, garnet
– Softer: e.g., sericite, clays, anhydrite
• Breakage, fragmentation and comminution
– Breccias, veining, microfractures
• Leaching
– Mineral reactions, fractures and permeability
• Concentrate quality – deleterious elements
– Influenced by deposit type, location/level in system
• Bulk measurements (core – SWIR), proxies
 Alteration
Deposit model and processing implications
Decreasing hardness
Increased breakage –
fragmentation

Albite Sericite

Residual quartz Kaolinite

 Mapping variability – data to knowledge

Data collection Interpretation Integration Understanding

 Grand mining challenges
• Energy intensive – breaking, moving and grinding rock
• Generates massive waste
 Reducing energy
• Existing/new approaches
– Prescriptive basting
– In-pit crushing and conveying
– Automation
– Bulk underground mining
– Grade engineering/sorting
– Integrated operations – mine to mill
– Mine-to-metal
 Innovation and solutions
• Digital transformation
• Electrification
• Automation
– Improved safety
– More efficient
– Lower energy
 Variability – value opportunity
Grade variability – scale?
Real-time sensor-based data
Separate metal-rich rocks from waste
Less rock processed, reduced tailings
Lower energy MineSense – Teck
 Integrated solutions
• “Smart” digital mines – reduced energy, reduced
waste, better management
• New processes: mine to metal to product
 Deposit clusters
Escondida
• Discovered in 1981, open 1990 2 km

• Concentrate and oxide Escondida

Norte
leaching producing >1.27 Mt Zaldivar
Cu/yr (~5% of global Pampa
production) Escondida

Escondida cluster Escondida

• Cluster: 4 separate deposits, 3

mines, 4 major owners (2 joint
ventures)
 Clusters – opportunities
• Common result of ore forming processes
• Occur in most ore-forming environments
• Significant exploration potential – near surface and
even more at depth – assessed using mineral
inventory approaches
• Economic potential – maximizing value
– Increasing resources within the same footprint
– Creating synergies with other operators – decreasing
footprint
 NuevaUnión project , Chile
• Two porphyry deposits and
two owners:
– Goldcorp: El Morro – Cu-Au
– Teck: Relincho – Cu-Mo
• 2015: Agreement to
combine – single operation
• Reduced footprint
– Single mill, tailings facility,
port, transmission line, water
and concentrate pipeline,
and access road
– Minimizes impact
Using data for success
• Landscape scale
– 3D geology
– Surface and biosphere
– Water and environment
– Culture and heritage
– Human activity
• Plan and design development
– Maximize value for all
– Minimize cumulative impact
– Generate lasting prosperity
 Conclusions
• Demand for metals will continue
• Required for the clean energy – low carbon transitions

• New discoveries of quality deposits

• Models, data and rapid testing

• Characterization and innovation

– Real time data for efficient extraction – less energy

• Clusters of deposits – synergies and value

• Opportunities for geosientists!
Gracias