ERC calculator mining – Module 6 transcript

Watch the video Mining ERC calculator training – Module 6 – Eligible mining and exploration to see examples of the eligible mining activities and exploration sheets.

Welcome back to the training for the 2022 edition of the estimated rehabilitation cost calculator for mining. This is Module 6. In this module we will work through examples for the eligible mining activities and exploration sheets.

As per the ERC guideline, certain resource activities are authorised with standard conditions if they satisfy the eligibility criteria for the relevant ERA standard under the Environmental Protection Act 1994. The relevant standards are prescribed under the Environmental Protection Regulation 2019. The eligible mining activity sheet can be used to calculate the ERC for an eligible mining activity on a mining lease only. As such, if the user's environmental authority was approved through a standard or variation EA application, and relates to mining lease activities, the user can choose to use the calculator and should enter all elements for the site in this sheet.

The eligible mining activity sheet is straightforward to use. Quantities added to the quantity column are multiplied by the default rate or an alternative rate if entered by the user. As for all the sheets, if an alternate rate is added, the user must provide justification. Please note the units for each of the line items. Some are dimension quantities, such as length and area, and others are item quantities, such as number of holes. At the bottom of the sheet, there are several rows available for the user to enter elements that are not included in the above line items. If a quantity is entered without a unit rate, an alert is raised. All the costs are summed up and reported to the summary sheet. One minor change from the previous revision of the calculator is that the rates do not include land rehabilitation, and these must be added to the seeding of past areas and seeding of native areas rows. The user adds up all the land that will require rehabilitation and enters the total quantities to these rows. The user is encouraged to explain the breakup of the entries. Land rehabilitation of drill holes has separate rows as the areas are typically small.

The exploration user input sheet includes tables for activities typical to the exploration phase of a mining project, including seismic surveys, drill holes, roads and tracks, small water structures and disturbances from contractor owned infrastructure and equipment such as camps and water treatment plants. Some users may only need to use this sheet to complete their ERC calculation. The first two tables are for seismic easements, gridlines, and minor tracks. The first has default rates based on the length of disturbance and the second is based on the area of disturbance. The general principle throughout the calculator is that if a quantity is entered into one table, it does not then need to be added into a second table. This is a good example of that concept in that the user does not have to enter quantities to both the by length and by area tables for the same disturbance. The inclusion of two tables, one by length and one by area, recognizes that companies have data in different formats. Some maintain GIS systems that output area-based polygons and others may have lengths measured in the field. The user enters the total area or length of disturbance, and the default calculation multiplies the total disturbance area or length by the default proportion shown. This recognizes that disturbances associated with such activities are typically minor. The user can also enter their own rehabilitation area or length if it can be justified. There are three options depending on the land type, pasture, native and arid, or desert land.

The next two tables are for tracks and roads. Similar to the seismic easement tables, the first has default rates based on the length of road with a default width and the second requires just the area disturbed by the track or road to be entered. For the by length table, it is not expected that the roads and tracks have exactly the width mentioned but should be close to. For example, if the average width of a track is five metres, the six-metre-wide selection should be used.

The next table has a selection of bores with several different treatments, including plugging, backfilling with cuttings, and grouting. The user selects the most applicable treatment based on their knowledge of the bores on the site and their experience. The last row of the default rates is exploration sump, which has a different unit to the bores.

The next table is for dams and ponds and includes a range of lined and unlined structures by size category. The area to be entered is the crest area of the water structure. Where multiple water structures fit in the same category, the user can enter the total area for all water structures of that category in the relevant row. So, for example, if a site has three lined four megalitre ponds, each of a crest area of one hectare, the entry is three hectares into the three point five to seven point five megalitre category. The default rate does not include any water to be pumped and or treated. If water is to be pumped or treated, it must be entered into the water treatment sheet.

The next table is for rehabilitation of land upon which third party plant and equipment are installed. The primary examples are camps owned by a contractor and water treatment plants owned by a vendor. The assumption in these cases is the contractor and vendor is responsible for costs associated with the removal of the infrastructure and plant, and the environmental authority holder is only responsible for costs associated with the land rehabilitation. Similar to the other sheets, the total costs for each table are summed and sent to the summary table to be added to the total estimated rehabilitation cost.

As always, for more information or specific instructions, please consult the user guide, which is also available on the business Queensland website below the download for the calculator. See you in the next module.

Watch the video: Module 6 – Eligible mining and exploration.