Mining-
This business of extraction
Mining is the process or business of extracting minerals
from the ground. Success depends upon the occurrence of
the mineral or ore body, proper study and
interpretation
of the studies made, selection of latest technology,
development of infrastructure, personnel and initiating
a continuously evolving environment. Over the years, the
market dynamics of the Mining Industry have silently
evolved from a sellers market to a buyers market, a
process that has required companies to make major
changes in their mindset in order to adapt and thrive in
the new scenario.
Indian
Cement- Limestone scenario
The
Indian Cement Industry
exemplifies this to a nicety. The
Cement Industry
the world over is tightly correlated to the
GDP
(the factor in India is estimated to be about 0.88).
Though the roots of the cement industry in India goes
back to 80 years, the beginning of Industrialization in
India provided the right opportunity for the cement
industry to make its presence felt. Absence of serious
competition, the presence of railway sidings and
abundance of limestone seemed to be the only criteria
for setting up cement plants. Though limestone occur
under all ages in India, crystalline limestone of
Archaean
age were mostly targeted and plants set up.
And
then, the inevitable happened. The now old cement plants
based on Archaean limestone not only found their
technology obsolete but also found their limestone
resources fast depleting. The companies were forced to
find alternate resources, which by then had become
scarce or find new ways to increase recovery from their
existing deposits. To their dismay, they discovered that
the markets - so lenient earlier were unwilling to bear
costs accruing due to the companies' outdated procedures
and processes, demanded higher standards of quality.
After decontrol of cement prices, new cement plants
sprang up on sedimentary limestone deposits
other
than Archaean. which are of simpler nature Since the
entire run- of- mine could be consumed, the cost of
extraction for these plants was appreciably lower
whereas the older set-ups had to manage with
progressively lower recovery ratios. Companies are now
forced to work deposits once considered unviable and/or
unworkable with selective mining. Earlier threshold
values are no longer applicable for the older plants and
only technology seems to offer the panacea for survival.
Emerging trends
High
degree of mechanization and capacity to handle large
volumes has lowered the run-of- mine costs. Detailed
geological explorations and technological advances made
in
geostatistics
and interpretations, now make it possible for a clearer
understanding of structures and working of limestone,
balancing the economics, deploying large earthmoving
equipment , handle large volumes of overburden and
exploit residual threshold deposits.
This has
opened vistas for mining engineers, manufacturers of
equipment and consultants and a definite need for
technical and operational excellence for survival. Life
has also been given to small pockets of deposits that
are now worked for outsourcing. |
