CIM Vancouver Branch - October afternoon session
The CIM Vancouver Branch is pleased to invite you to our October afternoon session
Keynote Speaker: Jarek Jakubec, C. Eng. MIMMM
Title: Jericho Mine – Lesson Learned
Bio: Jarek Jakubec is an SRK Corporate Consultant with over 30 years of operating and consulting experience in the mining industry. He has world-class expertise in mass mining including feasibility project management, due diligence reviews, mining method selection, and rock mechanics. Jarek’s expertise also include cave mining risk assessment and accident investigation. He has worked on more than 70 mining projects in 27 countries on 5 continents. Jarek has published over 25 papers on geology, geotechnics, and mining and is a qualified person in terms of National Instrument 43-101.
Abstract: Canadian diamond mining plays an ever increasing role in the world of the diamond market, with five mines in production and a few projects in advanced stages of studies. The success of these projects have created a positive climate and have resulted in an ongoing diamond exploration. This brings, however, the need to fully appreciate the challenges that new projects can face in different stages of development. Unfortunately, beside undisputed successes, the Canadian diamond industry also result with examples where commercial outcomes fall short of expectation – Jericho and Snap Lake diamond mines. This presentation debates some of the challenges that have led to the Jericho mine closure.
Tahera opened Jericho mine in January 2006. In 2007, the company reported financial losses due to operational difficulties, the high value of the Canadian dollar, high oil prices, and the short operating season of the winter road in 2006. In mid-January 2008, Tahera filed an application for protection from creditors and within early 2008, the mining operations were suspended. All mining equipment was withdrawn from the site and the processing plant was placed on care and maintenance with token staff. Now, the Jericho site remains under the care of the federal government.
The leading sources of technical risks of the mining projects are optimistic expectations in the mine design, scheduling, and in the geology and resource estimation. In order to minimize these risks, it is necessary not only to bring all disciplines together right from the beginning of the project evaluation, but also to bring all critical aspects to feasibility level. However, it is also fundamental that the plan developed within the feasibility study is thoroughly adhered and any material changes deviating from the plan must be thoroughly evaluated.