Oyu Tolgoi Project

Technical Specification Overview – Underground Explosives

Updated March 2017

1. Project Background
The Oyu Tolgoi mine site is located 550 km south of Ulaanbaatar in the Omnogovi province of Mongolia. The
Oyu Tolgoi mine site consists of a series of ore bodies actively being developed and mined with open pit and
underground mining methods.

The Hugo-Dummett deposit will be mined in a series of lifts. The first stage being Hugo North Lift 1
(500Mtonnes) will be mined utilizing the panel caving mining technique. Mine development includes 203
kilometers of lateral development with principal production levels located 1300m below surface. Mine access
and ventilation of workings is enables by a series of five shafts. Mine life is schedule to extend to 2036, with
potential for additional production panels to prolong mine life more than 50 years.

After early mine development, Hugo North Lift 1 (HNL1) as shutdown since September 2013 and was placed
into care and maintenance. Mining scope completed included:
• 15.7km pre-production mine development from a single shaft access (Shaft #1)
• Shaft #2 at 1166m depth
• Shaft #5 at 207m depth.

Mine development and shaft sinking recommenced in July 2016.

2. Scope
The scope of this technical specification is to present an overview the explosive quantities and technical
support requirements for the HNL1 pre-production and production ramp-up period from 2016 - 2022.

HNL1 scope includes but is not limited to:

• Development face blasting
• Mass excavation blasting
• Conveyor to Surface Declines (Horizontal & Large Excavations)
• Production drawbell and undercut blasting
• Shaft sinking
• Secondary blasting of oversize

Table 1 outlines the anticipated Life of Mine (LOM) development quantities.

Mine Development Period Look Ahead

2023-
Area Current 2016 2017 2018 2019 2020 2021 2022
2042
Horizontal Dev. (m) 15,700 1,295 8014 11,710 18,388 17,976 18,211 17,045 81,214
Large Excavations (m3) 2,700 14,140 34,203 44,287 23,154 21,058 0 0 0
Undercut Blasted (kt) 0 0 0 0 314 641 437 497 8,464
Drawbells Blasted (unit) 0 0 0 0 0 24 24 24 432
Table 1: Hugo North Lift 1 mine development quantities

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 Table 2 outlines the approximate Life of Mine (LOM) explosive quantities for shaft one.

Table 2

3. Geology and Geotechnical

HNL1 mining occurs in two general geological areas defined by the West Bat fault (Figure 1). Mine
infrastructure is located in barren rock west of the West Bat fault. The rock type is largely defined by volcanic
rock types with intact joints and an Unconfined Compressive Strength (UCS) of 150 MPa. The ore body
comprises a range of rock types with UCS values between 75 and 150 MPa and contains a large quantity of
joint and fault sets.

Barren Rock
(HWS)

Ore Body

Figure 1: Ore Body

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 4. Mining Conditions and Methodology
In-situ mining conditions are dry with minimal ground water generation. All excavations are shotcreted floor to
floor and shafts concrete lined. The top two thirds of tunnel faces are typically sprayed with shotcrete to
improve initial drill penetration and to avoid rock fall during charging.

4.1. Lateral Development

Hugo North utilizes mechanized lateral development with standard tunnel profiles ranging from
5.0mWx5.5mH to 6.0mW x 7.0mH with fully arched and flat backs. Table 3 outlines standard tunnel sizes
utilized (list not comprehensive). Tunnel gradients are planned within the range of -18% to +18%.

Type Width (m) Height (m)

General Access 5.0 5.5
Ventilation 6.0 7.0
Undercut 4.0 4.0
Extraction 4.5 4.5
Haulage 6.0 6.0
Conveyances 6.0 7.0
Table 3: Hugo North Standard Development Profile Dimension

Drill patterns have utilized 45mm drill holes on 800mm hole and row spacing. Four 127mm reamer holes are
drilled in the burn cut. Figure 2 illustrates an example drill plan layout.

Typical drill hole lengths are 3.0m, 5.2m, and 6.2m drilled with Atlas Copco M2C and E2C boomer jumbos.
Average break length is greater than 90% of drilled length. Historical charging practices have utilized a lower
density explosive or trim product on the perimeter to manage over-break.

There is an opportunity to improve all aspects of the drill, blast and charging steps of the development cycle.

Figure 2: Example historical Drill Pattern 5.0mWx5.5mH

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 4.2. Mass excavation blasting
Mass excavation at Oyu Tolgoi is defined as an excavation exceeding six meters in width or seven meters in
height and thus featuring multiple pass development and tolerance critical excavation dimensions. The scope
of mass excavation work includes:
• Crushing chambers
• Conveyor transfers
• Ore bins
• Workshop bays
• Underground facilities (offices, lunchrooms, etc.)

A wide range of development techniques are anticipated for mass excavation blasting including benching,
slashing, drop raises, and bin development. Excavation envelope tolerance and over-break control is of high
importance.

4.3. Undercut blasting

Hugo North Lift 1 will utilize the advanced undercut panel caving technique. Figure 3 outlines conceptual ring
designs for proposed undercut development techniques. The following is specified:
• Up-holes greater than 20m in length at a dump angle of 15 degree from vertical.
• Hole diameter from 89mm to 102mm.
• Double priming of holes greater than 10m in length.
• Undercut drive blast initiation utilizing a slot raise 1.5m in diameter to form initial blasting void.
• Ring and hole toe spacing of 2m, two rings blasted simultaneously.
• Varying explosive density based on ground conditions and perimeter control.
• Explosive sleep time in the hole approximately one month

Figure 3: Conceptual Undercut Ring Designs

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 4.4. Drawbell Blasting
HNL1 draw-bells are planned as single shot 7,700 tonne blasts requiring the use high accuracy electronic
detonator initiation. Figure 4 outlines the conceptual drawbell shape. The following parameters are specified:
• Drawbell dimension of 14m long and 12m high.
• Up-holes greater than 20m in length drilled vertically.
• Hole diameter from 76 mm to 102mm.
• 1.5m diameter slot raise excavated to within 1 m of undercut breakthrough to form initial blasting
void.
• Ring burden and toe hole spacing of 1.5m to 2m.
• Varying explosive density based on ground conditions and perimeter control.
• Double prime for drill holes at least 10 m long.
• Precise timing with electronic detonators.

14m 12m
20m

Figure 4: Conceptual Drawbell Shape

4.5. Shaft Sinking

Hugo North Lift 1 is to utilize shafts for access way, production hoisting, and ventilation. Five shafts are
currently planned. Table 3 outlines the planned shaft development. Table 4 outlines the explosives required.

Shaft Excavated Current Planned Excavation

Diameter (m) Depth Final Depth Date
Shaft 1 6.7 1380 1385 Done
Shaft 2 10.8 1166 1284 2016-2017
Shaft 3 10.8 0 1432 2020-2022
Shaft 4 11.8 0 1300 2019-2021
Shaft 5 6.7 207 1241 2016-2017
Table 3: Shaft Dimensions

Table 4 Shaft explosives requirements

Current development practice utilizes a wedge cut blast pattern with 48mm holes, 3.2 drill depth and average
round break of 3.0m. Figure 5 outlines an example shaft sinking drill and blast pattern.

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 Figure 5: Sinking Drill and Blast Pattern

4.6. Secondary Breaking

Secondary blasting of oversize rocks will be required to facilitate production material passing an 800mm x
800m grizzly. Oversize rock on the grizzly will either be removed by an LHD to an available draw point, where it
will be broken by the secondary breaking crew, or broken by a mobile rock breaking unit brought to the grizzly.

5. Technical Support
Technical support is required to integrate the selected explosive product line into all prescribed mining
requirements. This includes but is not limited to:
• Optimization of drill patterns through fragmentation and Velocity of Detonation (VOD) calculations.
• Expertise in draw bell and undercut design and blast pattern planning
• Cost reduction and business improvement
• Training courses in safe and efficient blasting
• Assist with forecasting explosive quantities
• Guidance on fit for purpose perimeter products
• Initiation systems
• MMU operation and maintenance
• Operational support

6. Explosive Management
The supplier will be required to provide management of explosive products from the point of manufacture
until issue to contractor crews underground. This includes provision of surface and underground magazine
management including employment of magazine keepers. Figure 6 outlines the ownership and supply chain.

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 Figure 6: Explosive Supply Chain Ownership

7. Summary of Requirements
The explosive supplier is to provide a range of products and services that demonstrate capability to fulfill all
mining requirements of Hugo North during the pre-production development and production ramp-up
timeframe. The explosive supplier is expected to provide technical guidance and implementation of a digital
blasting solution that integrates with the site fibre optic system. This system will require
training/maintenance/trouble shooting at a site level.

7.1. Products
The explosive supplier is to provide the necessary explosives (bulk and packaged) and accessories required for
safe, cost efficient blasting. The product range will include fit for purpose products for all aspects of required
development. This includes lateral development, mass excavation, shaft sinking, and production blasting. The
following list of products provides as a minimum the product range that will be required- though not limited
to.

ANFO

Prilled (not powdered) porous ANFO, suitable for use in pneumatically operated air kettles, in an
underground environment.

Emulsion/Water Gel bulk explosive

Product to be gassed at the point of use underground, through the use of a mobile mixing unit or
equivalent. The product will be waterproof and have the material characteristics to be utilised and
remain in vertical up-holes and suitable for use in an underground environment.

Boosters

Cast boosters, to be used to initiate bulk explosives in an underground environment, the dimensions
of the boosters must accommodate a “double locked“ method of priming with detonators. Boosters
must be initiated by a #8 strength detonator, and be suitable for underground environment and use
in both development (<45mm) and production holes (>64mm diameter).

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 Millisecond Delay Non-electric detonators-

#8 strength detonators suitable for use in underground mining environments with length ranges from
5m-35, suitable for use with boosters and packaged emulsion. The detonators should have coloured J-
hooks for ease of identification, and numbered to clearly indicate the initiation sequence. The
detonators should be suitable for use with 5g detonating cord as a minimum. The range of available
delay numbers should be sufficient to allow controlled blasting for large diameter tunnels or
rises/shafts.

Long Delay non-electric detonators

#8 strength detonators suitable for use in underground mining environments with length ranges from
5m-35, suitable for use in boosters and packaged emulsion. The detonators should have coloured J-
hooks for ease of identification, and numbered to clearly indicate the initiation sequence. The
detonators should be suitable for use with 5g detonating cord as a minimum. The range of available
delay numbers should be sufficient to allow controlled blasting for large diameter tunnels or
rises/shafts.

Electric detonators-

#8 strength, suitable for initiation of 5g/m detonation cord. The detonators will be suitable for use in
underground mining environment and water resistant. Zero millisecond delay time available in a
selection of sensitivity (amps required to initiate).

Electronic detonators-

#8 strength detonators, suitable for wet underground environments. Detonators to have capacity to
programme to allow highly accurate timing and scalable blast sizes 1 to 200 holes. The digital
detonators should be available with a proprietary proven means of logging/programming and firing
mechanism.

Non-electric signal tube-

PETN based signal tube suitable for extending non-electric detonators in length for remote firing
through the use of “stinger” units or equivalent.

Packaged emulsion based explosives-

Emulsion based packaged explosives suitable for use in lifter holes in development faces or use as
primers in development headings with blast hole size <45mm.

Low impact perimeter control explosives-

To reduce damage and over-break in perimeter blast holes.

Hole stemming products-

Products to allow effective stemming of holes including but not limited to:- inflatable bags, bottle
brushes or similar

Booster spiders-

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 Products to assist boosters to remain in uphole charging holes.

Detonating cord cutters-

Either protected single blade, or single edge clipping secateurs.

Portable stinger units-

Suitable for single initiation of non-electric detonators

Portable electronic data loggers and initiators

Suitable for use in electronic firing, with site based support for the use and initiation of such items.

Hole liners-

Non-static liners suitable for use in wet holes. Hole sizes 64mm, 76mm, 89mm.

Bell wire-
Copper based single strand low resistance wire suitable for use in extending electric detonators to
localised electrical trunk lines.

Full technical and operational specifications of each product to be utilized must be provided for review, these
specification and data sheets must be substantiated from internationally qualified and approved testing
facilities. Items to be included as a minimum are:-

• Scatter analysis of detonators

• Velocity of detonation
• Sleep time of bulk explosives
• Post blast fume generation characteristics
• Water resistance
• Density range of explosive
• Gas generation per litre of explosive
• Trigger current required to initiate electric detonators

An outline of how each product will be utilized at Hugo North is to be provided. An outline of bulk product and
pumping unit specifications is to be provided for development and production applications discussed.

7.2. Technical Capacity

The explosive supplier must demonstrate the ability to deliver all aspects of the technical support required as
stated in this specification. This includes reference projects where similar scope and scale of services are or
have been provided. Technical papers of product application in similar mining environments should be
provided. Resumes of key personnel able to support technical queries should be attached.

7.3. Supply Chain

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 The explosive supplier must outline the supply chain network to deliver the required explosives and explosive
accessories from production plant to Oyu Tolgoi mine site. Demonstrate the ability to maintain the supply
chain and outline the identified risks.

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