1. The emerging skills shortage in the minerals industry - potential constraints on future sustainable development
John Thompson

2. Outline Critical skills – concerns
Mining Industry – changes and challenges
People – demographics and demand
Exploration – geoscientists and skills
Area selection
Target generation and testing
Evaluation and development
Critical skills – concerns
Constraints on development
Opportunities

3. Industry – the last ten years
The resurgence of the resource business
Supply-demand – high commodity prices
Opportunities and challenges:
Markets – capital and consolidation
Discovery
Cost escalation
Technology
Politics, environment, health and safety, communities - sustainability 3

4. Supply – demand Sustained prices? Volatility Supply constraints Demand
Low discovery rate – relative to expenditure
Limited effective grass roots exploration, technical challenges, land access, people
Cost escalation – materials, energy, labour
Development & mining – labour, skills
Politics and social/cultural issues
Demand
China, India etc…. Future?
Sustained prices?
Volatility

5. The people picture Demand Demographics Competition
New projects and expansions
Limited hiring – a lost decade
Demographics
“Retirements” – loss of knowledge
Job pressure – early retirement, life style
Competition
Location
Image

6. Exploration – people skills
The role of the geoscientist
Early stage – generation
Projects – evaluation
Business – management

7. Early stage – Generation
Understanding the target – metallogeny
Using available public data
Developing the concept
Testing the concept
Acquiring the “right” data

8. Project exploration Target definition Target testing – drilling
Intelligent collection and use of data
Target testing – drilling
Logging drill core/chips
Interpreting results
Exit strategy

9. Understanding the model
Classic 2D geological models
Extrapolation to 3D
Building from experience
Resisting dogma – dealing with uncertainty
Empirical v theoretical models
e.g., IOCG – major deposit class but no adequate exploration model

10. Data and modeling
Targeting:
Data quality
Variables
Assumptions

11. Interpretation 3D Models: Organize & integrate data
Interrogate & visualize results

12. Project development Communities Resource evaluation Geometallurgy
Mining and processing
Environment

13. Using the data Exploration to resource Resource to mine Geometallurgy
Understanding deposits
Delineation, evaluation
Resource model
Resource to mine
Geotechnical data
Ore characterization
Waste characterization
Geometallurgy

14. Geometallurgy Define mining/processing characteristics
Start-up risk mitigation
Mine site optimization and integration
Predict mining/processing results from geological characteristics
A new skill set using mineralogical and textural data

15. Data to Predictions

16. Geometallurgy Current geometallurgical tests
Relatively expensive – hence limited to a few (composite) samples
May not reflect or define inherent variability
New cost-effective methods – better use of mineralogical, chemical and physical data
Generate enough data to be spatially representative and predictive

17. Geometallurgical models
Incorporate data into resource models
Potential
Total economic optimization
Optimize flowsheet/plant size
Reduce technical risk
Liberation
Grinding
Recovery
Crushing
Disposal & environment
Blasting

18. Critical skills - concerns
Field
Observations – rock, drill core/chips, outcrops
Interpretation – regional to project scales
Experience – time on the rocks
Leadership
Technical and non-technical skills

19. Loss of field skills Fundamental for exploration
Observations – outcrop to drill core
Experience – 3D interpretation
Lack of emphasis in education
Inadequate training - industry/government

20. Leadership Challenges Attributes and skills A people business
Range of projects
Managing uncertainty
Risk analysis
Team leadership
Attributes and skills
Presentation and salesmanship
Cultural/social awareness
Determination and flexibility
A people business

21. Constraints on discovery & development
People and budgets (market conditions)
Skills, expertise and determination
Politics – land access
Development
Land-politics, energy, water, and costs
People – mining engineering and metallurgy
Finding the “A” team
Creativity and rigour (geometallurgy!)

22. Constraints on different players
Majors
Good budgets – focus, speed, awareness?
Expertise and teams – commitment?
Approach/ability to work with juniors?
Juniors
Funding – understanding the options?
Staff – business and technical demands
Balanced portfolios
Breadth v focus – frontier v mature
Technical risk v non-technical risk

23. Opportunities Companies Universities
Attract and retain the right people
Use people in the right place
Career development and flexibility
Invest in education – build capacity
Universities
Provide fundamental education
Introduce breadth and application

24. For the geoscientist Mining industry –
Enormous opportunities – career advancement
Adventure, diversity, challenge
Geoscientists are capable of anything
Quantitative and qualitative science
Interpret vast amounts of complex data
Deal with uncertainty
Work with people
Leaders – CEOs……