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By Reaves. M. J.

The title of my talk, "What Happened to the Uranium Boom?" is old news. Certainly it is for this group. All of us that make our living in uranium know that the boom of the last half of the 1970's is over. U.S. production has been exceeding consumption by more than two to one. Mines and mills are closing and yellowcake prices have been dropping for over 20 months. The gloomy outlook for the industry in the near term has been well documented by soothsayers of various descriptions, your daily newspapers, and in the Nuexco Monthly Reports. I'd like to attempt to describe the next upturn in the market (speculate, really) based upon the clues we're seeing now. In order to do that, I'd first like to go over briefly, some of the market factors that contributed to the recent price drop and resultant production cutbacks, and then hypothesize on the way these factors are changing and will change. Market prices are greatly affected (maybe even entirely determined) by buyer perceptions. This is particularly true with uranium, because of the long lead times associated with nuclear plant construction and also with conventional mine/mill development. Before the price rise (say, 1975) utility uranium buyers believed that: 1) U.S. producers would have difficulty expanding to meet U.S. demand. 2) Australian and Canadian production was essential to avoid shortages in the early 1980's. 3) Uranlum prices would continue to rise as demand exceeded supply. 4) Enrichment capacity would become inadequate. It was thought necessary, therefore, to build enriched inventory in the early 1980's for use in the late 1980's. Artificially accelerated expansion of the uranium producer industry was necessary to accommodate anticipated enrichment demand. Current perceptions are largely the opposite. These are the beliefs that were held most of this year and late last year as prices dropped. 1) U.S. production is far in excess of domestic need. Contraction of the U.S. production lndustry is necessary. 2) Canadian and Australian supply is optional and not essential. Producers in those countries are expanding mainly by displacing higher cost production and not because they fill a void, 3) Prices may be essentially stable for some time. 4) Enriched uranium is in excess supply. That is 1981. 1982 is shaping up to look like this: 1) Prices will have bottomed out. (That is not Nuexco's opinion necessarily, by the way, but it is my opinion.) 2) There will still be substantial utility inventories, but fewer spot sales. 3) Canadian and perhaps Australian sellers will have made substantial sales in the U.S. and will be aggressively seeking more. 4) U.S. production will have been dramatically curtailed. U.S. utilities that wish to con- tract long term will have difficulty in finding domestic sellers. Concern will develop about the availability of U.S. production capability. Virtually all long term con- tracts signed will be with non-U.S. sellers. 5) An awareness will begin to develop among U.S. buyers that we are approaching a period of dependence upon foreign uranium (which will be true). The history of the uranium market has been one of dramatic changes and overreaction to those changes. The rapid price rise of a few years ago generated excess U.S. production capacity and the rapid price drop of the last two years will almost certainly result in too little capacity. It will soon be difficult for U.S. buyers to buy domestic material except on the spot market. The question is, "will they care?" The lack of demand, of course, is the underlying reason for the current poor health of the uranium industry. In 1972, 1973 and 1974 collectively, there were 105 nuclear reactors ordered in the U.S. That ordering rate was expected to continue and accelerate throughout this century. In 1975, 1976, 1977, 1978, 1979, and 1980 altogether, there were 56 more reactors cancelled than ordered. The net growth of our only customer since 1974 has been a negative 56. TO put this in perspective, if these 56 reactors were operating now it would more than double present U.S. uranium consumption. Underlying lack of demand is something that is simply not going to change in this decade. Time is going to be required. The NRC indicates that the maximum feasible number of new reactors that can be licensed each year is six. That would increase uranium consumption by only 10% per year. New reactors, if ordered tomorrow, would not generate new uranium demand until after 1990. Even so, United States' consumption of uranium will rise from the 1980 level of 18 million pounds per year, to

Jan 1, 1982

"World Mining and Metals Technology" is the title of this year's SME-AIME Fall Meeting and Exhibit in Denver, Sept. 1-3, where a record number of exhibits are scheduled for display. The international theme is particularly appropriate, for in addition to the annual SME session, the Third MMIJ-AIME Joint Meeting will be held.

Jan 8, 1976

By David C. Jonson, W. Bruce MacKenzie, Arthur A. Bookstrom, Vaughn E. Surface, Neil K. Muncaster, Stewart R. Wallace

In mid-Tertiary time a wet silici-alkalic magma penetrated the Precambrian rocks of what is now the Tenmile Range of Central Colorado and formed the Climax Stock. The stock is a composite one and was intruded in four separate irruptions, each giving rise to a major hydrothermal event. The first three of these produced large stockwork ore bodies that cap and flank the tops of their respective source intrusives; the fourth, and last, yielded almost no commercial mineralization. The ore bodies and their related zones of alteration are circular to ring-shaped in plan and arcuate in section. The different phases of the stock are so positioned with respect to each other that many of the circular and arcuate zones of mineralization and alteration overlap or are juxtaposed. Evidence of a time separation between the different ore bodies is found in certain dikes that were intruded between periods of mineralization and are well mineralized in one ore body but are barren in another. If it is assumed that the parent magma at Climax contained 10 per cent "water," that the "water" contained 0.1 grams per liter of molybdenum, and that the processes of extraction were 100 per cent efficient, then approximately 10 cubic miles of magma would be required for the formation of each ore body. The volume requirements, taken in conjunction with the cross-sectional areas of the different phases of the stock to explored depths, suggest to the authors that each magma chamber was columnar, extended to a depth of thousands of feet, and was connected with a much larger master reservoir. The repetition of similar intrusive, structural, and hydrothermal events, indicates periodic tapping of this reservoir. A regular chemical evolution of the parent magma is suggested by the systematic change in metal ratios and differences in the sites of deposition, relative to the source intrusive, in each of the four separate igneous hydrothermal stages. The preparation of ground was due to changes in magmatic and/ or hydrothermal pressures within the igneous-hydrothermal columns; small, repeated, up and down movements of the rock enclosing the tops of the columns formed the stockwork fractures into which the mineralizers penetrated. The forceful emplacement of each successive phase of the Climax Stock resulted in a slight doming and rotation to the westward of the earlier-formed geologic features. Postore normal displacement along the Mosquito fault is estimated at about 9000 feet. Part of one ore body was cut by the fault and lies at depth below the Paleozoic sedimentary strata on the hanging wall. On the footwall side of the fault, subaerial erosion and glaciation removed a large part of one ore body and uncovered the top of a second.

Jan 1, 1968

By Donald F. Hammer, Donald W. Peterson

The Magma mine at Superior, Arizona, has produced over 13 million tons of ore yielding 1.5 billion pounds of copper. It is a mesathermal deposit, and, although the bulk of the ore has come from the Magma vein, most of the recent production has come from replacement deposits in limestone. The mine lies in a Precambrian and Paleozoic sequence of rocks that includes schist, diabase, quartzite, shale, and limestone; nearby, these rocks are intruded by igneous bodies of Mesozoic age that were probably the source of the ore-bearing fluids. Locally, these rocks are overlain by Cenozoic volcanic rocks and conglomerate. Layered rocks at the mine dip eastward about 30°. The area is extensively faulted, and surface faults are grouped into an earlier east-trending set and a later northtrending set. An additional set of diagonal faults that trends northwest and northeast is recognized underground. The east-trending Magma vein-fault, with its splits and branches, is the principal mineralized structure of the district. The bulk of the ore occurs in large ore shoots that plunge steeply westward and are sporadically connected by irregular ore shoots dipping gently eastward. The main ore controls apparently are selective zones of permeability related to the transverse faults. A bed of crystalline limestone near the base of the Martin Limestone (Devonian) is the host for the replacement ore bodies-discontinuous tabular pods dipping eastward parallel to the bedding. Selective permeability is again the apparent ore control, caused both by local hydrothermal solution of limestone and by deformation along faults. The principal copper minerals in the vein are chalcopyrite, bornite, enargite, tennantite, chalcocite, and digenite; these minerals vary in abundance according to a distinct zoning pattern. The upper part of the mine yielded considerable zinc as sphalerite, and the oxidized zone was rich in silver. The chief gangue minerals are pyrite, quartz, and hematite. In the limestone replacement bodies, chalcopyrite and bornite are the chief ore minerals.

Jan 1, 1968

By Robert L. Clayton, Arthur Baker

Two massive sulfide zinc-copper ore bodies are in quartz-sericite schist (probably formed by regional metamorphism of sediments) and andesite of the Precambrian Yavapai Series, on opposite sides of a large rhyolite mass. The Copper Queen ore body is conformable with bedding of its schist host rock, but the Old Dick ore body probably crosscuts the strata. A lens of low-grade mineralization in chlorite schist, associated with the Old Dick ore body, crosscuts through 150 feet of strata. The ore bodies are almost entirely enclosed by premineral faults with less than 150 feet of displacement. The minerals of the ores are pyrite, sphalerite, and chalcopyrite, with minor arsenopyrite and galena and small amounts of intimately associated chlorite, sericite, and calcite. Old Dick sphalerite-chalcopyrite intergrowths have mutual boundaries, and sphalerite grains contain abundant exsolved chalcopyrite. Copper Queen sphalerite-chalcopyrite intergrowths have extremely ragged boundaries, the sphalerite contains no exsolved chalcopyrite, and the ore overall has a schistose texture. The pre-mineral fault on the hanging wall of the Copper Queen ore body has had 100 feet of post-mineral displacement. Wall rocks of the Old Dick ore body locally have been sericitized. Andesite and quartz-sericite schists for at least several hundred feet around both ore bodies have been chloritized erratically and contain traces of copper.

Jan 1, 1968

By J. R. Linney

A HISTORY of the ore-mining and iron-smelting industry of the Adirondacks comprises a century and a half of pioneering by rugged individualists, both men and women. By geographical location, the climate is most severe-long, cold winters with heavy snowfall, and short seasons of vegetation growth; this, together with its remote location from large centers of population, adds considerably to the difficulties of conducting mining operations in this area.

Jan 1, 1943

By N. H. Emmons

THE work of a consulting engineer or manager, when controlling mining-operations, requires that he have all the information concerning the mine in as concise a form as possible, and as the ore-reserves and their depletion and enlargement are the vital points to be studied, it is well to have them kept up to date and in some convenient form. The present paper describes a method adopted by me, which shows in a very clear manner the ore-reserves in a mine. The case illustrated is that of a vein near enough to the vertical for the vertical elevation of the mine to be the main working-map. A flat ore-body would be represented on a similar plat, but instead of the horizontal thickness of the vein being shown in the circles, the vertical thickness would be inserted. Fig. 1 represents an ideal longitudinal elevation of a mine, plotted in the ordinary way, using 100-ft. blocks and section-lines. In a mine where the block-numbers are posted by the engineer underground, the system of keeping the ore-tonnages extracted from the different blocks is easily maintained, and the actual tonnages of ore extracted can be kept so that the surveyor can have a check on his estimate from time to time. The ore-reserve sheet, Fig. 2, should be the same size as the map it is to accompany. Each square is used for the description of the ore-reserve in the block it corresponds to on the elevation. Where the section-lines cross the levels a circle is drawn, in which are written the widths of ore at that point, these widths being used in the calculations of each block cornering in the circle. It has been found convenient to show the figures in black in the lower half of the circle when the actual widths of ore are known, and when it is necessary to make up the figures of probable ore, as at the time of making

Jun 1, 1912

By Luis N. Henriquez

One form of encouragement for the small copper mining sector in Chile has been the construction and management of custom mill facilities to process the ore. The paper describes an economic analysis framework for the evaluation of government custom milling opportunities. Feasible mill locations and capacities within a region are selected and the infrastructure and milling costs associated with each combination of location and capacity are assessed. For each combination, the economics of developing and operating known copper deposits in the region is evaluated, and an optimum cut-off grade and mine capacity is selected for the deposits which justify development. Since the total ore supply from mines in the region may exceed a particular custom mill capacity, mine development is scheduled to optimize the economics of the mill facility. Finally, the best custom mill location and capacity is selected on the basis of overall costs and benefits. A copper mining region in northern Chile is used to illustrate the application of the model. A mobile mill approach is examined and compared with the fixed location mill alternatives. Results are analyzed as a function of copper price.

Jan 1, 1977

By John A. Baker

S EVERAL FACTORS have brought about a vastly greater interest in the gold-mining industry in the last two or three years. Outstanding is the fact that there is an open market at a fixed price for all that can be produced. a condition that holds for no other commodity. Costs of production have decreased greatly, owing to lower prices of supplies and equipment and lower wages. Improved metallurgical processes and equipment are also available. To big new gold district is being opened up but virgin ground is being prospected with some success in many of the more remote parts of the world and right here in the United States many old properties are being reopened 111 the light of present condition<, tailing dumps are being re- worked, and profitable leases taken on abandoned property. Many of the men who are becoming interested in gold are mining engineers whose experience has all been with base metals heretofore: some are engineers with no mining experience; some are not engineers at all but men who cannot find profitable employment in their usual field of activity and are attracted by the age-old lore of the yellow metal. Some are business men with a little money and an idea that under present conditions gold mining offers a safer investment for it than most other kinds of business. It is to those more or less inexperienced new- comers in the gold-mining industry that this article i4 ad dressed. Those who are connected with the large gold mines or who have had rears of experience with the small ones will find in the following pages little or nothing of interest but it is hoped that the newer generation of small mine operators, on whom the healthy growth of the industry depends so much, may find here some helpful hints.

Jan 1, 1932

By Raymond S. Weimer

OF the several characteristics of a coal that influence its suitability for use in a given piece of burning equipment, the clinkering and slagging characteristics of the ash of the coal are highly important. They determine the maximum rate at which the coal may be burned on a stoker or in pulverized form without difficulty from damage to metal parts, from erosion of refractory walls, or from stoppage of gas passages by accumulation on the tubes. They also determine the minimum rate at which a slag-tap furnace may be operated without difficulty in removal of the ash in fluid form. NEED FOR A BETTER CRITERION In common with other producers and users of coal, the Northern Illinois Coal Corporation has long used the available methods for the measurement of the clinkering characteristics of coal ash, chemical composition and fusion temperature of the ash, as criteria for the selection of coal that would suit the particular requirements of its customers. These two available criteria have greatly helped in the problem of selection but it is unnecessary to dwell upon the fact that they are not completely adequate for the purpose. The composition of the ash and its clinkering tendency vary widely over the company&apos;s mining area. In a certain period, some years ago, an unusual amount of severe clinkering of the ash of coal shipped made extremely acute the need for a better criterion of the clinkering that might be expected. It was also desirable that the criterion result from a reasonably rapid method, so that the clinkering characteristics of the coal would be known before shipment. Complaints on the severe clinkering of the ash came from only a fraction of the output of the mine but the occurrence of the clinkering seemed quite unpredictable. Attempts to relate the chemical composition of the ash and the fusion temperatures to the clinkering were unsuccessful. Coal from the area of the mine in which the fusion temperature of the ash was the lowest gave the least trouble from clinkering. Chemical analysis of the ash from that section giving the most trouble showed high contents of iron and low contents of silica, but frequently these were not greatly different from those of coals that gave little trouble from clinker. Aside from the clinkering difficulty, the coal was quite satisfactory. The ash content was normal and high rates of burning could be obtained, but again and again such severe clinkering would occur that the furnace would be shut down because of the accumulation of clinker. Examination of the clinker from the customers&apos; plants showed that the clinkers that adhered to the grates and fouled the fuel beds were hard, flat, dense, and usually dark in color. Coal that was satisfactory gave clinkers that were softer, bulky rather than flat, of low density, and usually lighter in color.

Jan 1, 1944

By L. E. Young

IT has been said the British Empire was built on British Coal. In all the postwar planning for Great Britain the necessity for producing cheap coal and the prosperity of the coal industry are given first consideration. On Jan. 23, 1945, there was released in London a "Report to the Colliery Owners" which had been awaited with great interest. This was entitled "A Plan for Coal" and was the recommendation of Robert Foot, chairman of The Mining Association (Colliery Owners), prepared at their request. Presentation of the "Plan" at this time is particularly significant as it is an answer to the demand for nationalization of the coal industry by the Labour Party and at the same time is a carefully considered program for postwar reconstruction, prosperity, and stability. In the words of Mr. Foot, If the coal industry for the first ten years after this war is to find itself in a situation similar to the one it occupied for the ten years following the last war, with its record of disputes, strikes, stoppages, short-time working, unemployment, and, with it all, a completely insufficient margin of profit, and all the insecurity and instability in our basic industry that was brought with them, it is goodbye to any real prospect of full employment, social security, and high standard of living. To present an elaborate review of the conditions which have brought to a crisis the unfortunate situation in the British coal industry is here unnecessary, but certain of the salient points

Jan 1, 1945

By KENNETH W. GREENAWALT, William Greenawalt

THE patent system, through which an inventor is given exclusive right to his invention for a limited period as a reward for his industry and in reimbursement of his expenditures, originated in England in the famous "Statute of Monopolies," enacted in 1623. The first patent granted in America was to Samuel Winslow, in Massachusetts, in 1641. The basis of the patent system of the United States is a provision in the Constitution giving Congress the power to secure to inventors for a limited time the exclusive use of their discoveries. The first legislative enactment was the law of 1790, which was placed on the statute book after Washington had addressed Congress in its favor. Under this law, the Secretary of State, the Secretary of War, and the Attorney General constituted the board for the examination of patent applications and the granting of patents. The first Secretary of State, Thomas Jefferson, became the first administrator of the patent sys- tem in this country. He personally examined every application filed during his term of office.

Jan 1, 1930

By E. H. Crabtree, Neil S. Parker

THE custom milling plant of the Eagle-Picher Mining and Smelting Co. is at Sahuarita, Arizona, approximately 20 miles south of Tucson. It is connected by a 2-mile railroad spur to the main line of the Southern Pacific Railroad between Tucson and Nogales. The capacity of the plant is 500 tons per day. The mill is conventional except perhaps in the rather wide variety of ores treated. These vary from straight copper ores, from which only one concentrate is produced, and lead-zinc or copper-zinc ores from which two concentrates are produced, to complex gold-silver-copper-lead-zinc ores, which require the simultaneous production of three or four concentrates. Custom ores are received in lots varying in size from a few truckloads to several carloads. Similar ores, after crushing and sampling, may be commingled, or individual lots may be milled individually. The ores are first dumped either into one of two 200-ton railroad bins, or into one of the two 75-ton truck bins. From these bins the lot of ore is individually crushed in a 24 by 16-in. jaw crusher to 3-in. size, and then to 1/2-in. size in a 3-ft Symons shorthead crusher. After crushing to 1/2-in., the ore is conveyed to the automatic sampling plant. This consists of three Vezin samplers in series, each successively cutting out 10 pct, to pct and 5 pct of its feed. After No. 1 sampler, the material passes through a mixing barrel and is then crushed to 1/4-in. in a set of rolls before passing to No. 2 sampler. Between No. 2 and No. 3 samplers, the ore is again mixed in a mixing barrel. The final sample, consisting of one pound per ton of ore, is taken to the laboratory, where it is further crushed to 1/8-in. in a coffeemill, and then riffled down to the size required for grinding in a pulverizer. The capacity of the crushing and sampling plant is up to too tons per hour, depending upon the character of the ore. After sampling, the ore is stored in five ore-storage bins, consisting of four 200-ton bins and one 175-ton bin. Each of these bins is discharged by means of belt feeders and conveyor to the ball mills, so that ores may be composited for milling in any required ratio, or milled separately by themselves. Fine grinding is done in one 6 by 4-ft Allis-Chalmers ball mill and one 8-ft by 36-in. Hardinge mill. These two mills both discharge to one 54-in. Akins Simplex Highweir classifier. The classifier sands can be returned to either or both mills, so that flexibility in grinding for different ores is easily obtained. Flotation equipment consists of four 66-in. Fagergren machines for copper-lead roughing and six similar machines for zinc roughing. Lead-copper bulk concentrate is cleaned and recleaned in eight No. 18-S Denver machines, and zinc concentrate is cleaned in three 66-in. Fagergrens. Copper-lead differential separation

Jan 1, 1947

By K. S. TWITCHEEL

THE different lines leading out from the vocation of a mining engineer are,&apos; perhaps, the most&apos; varied of all the professions. The expedition sent by Charles R. Crane of New York &apos;as a gift to the Imam Yahia, king of the Yemen, Arabia, was probably unique. Mr. Crane made a visit, in January,1927, to the Imam Yahia at Sanaa, capital of the Yemen. He was received with the utmost cordiality and respect, as his friend- . ship for the ,Arab world is famous; He was &apos;greatly impressed by the desire of the Imam to develop his country. The Imam stated that he had heard that there were minerals in his country and that he would like to secure engineers to advise him about them and other natural resources.. This seemed such a practical idea, and so greatly appealed to Mr. crane, that he offered to furnish an engineering &apos;expedition. Naturally the Imam gratefully accepted. This expedition was to study (as far as possible in &apos;the limited time) the natural resources of the ,Yemen, advise the Imam of what these consisted, and make suggestions regarding the most practical methods for their development. As agriculture is always such a fundamental part of a country&apos;s wealth, I first went to Indio, California, to study water-well drilling and the date industry, and eventually arrived at Hodeidah, the principal Yemen seaport, on Oct. 21, 1927.

Jan 1, 1929

By C. R. Ince

THE term "differential flotation" is used to denote a flotation operation in which separation is effected between two or more minerals of the same class; e. g., lead sulfide from zinc sulfide, pyrite from blende, chalcopyrite from pyrite, chalcopyrite from blende. At present, so far as published work shows, there seem to be two theories as to the mechanics of differential flotation. The earlier and more generally accepted theory is that the so-called depressing agents alter the surface of one or more of the sulfides in the ore, either by chemical action or adsorption, so that it is no longer amenable to flotation, but that these depressed sulfides can be revived, after the unaffected sulfide has been floated, by reagents which react chemically with the altered surface and make it amenable to flotation. More recently, Professor Taggart1 has advanced the theory that slime adsorption is an important factor in differential flotation. He believes that, with the proper use of a class of agents, which he calls .dispersion agents and which include practically all the depressing agents, one can cause the slime to adsorb differentially on sulfide surfaces. A gangue-slime coated sulfide surface will act as a gangue particle and will not float. If, subsequently, an agent that will remove the gangue-slime coating is added, the sulfide again assumes its original surface and can be floated as an ordinary sulfide. This-is the basis of the slime theory of differential flotation. Timber Butte mill at Butte, Mont., is a typical lead-zinc flotation concentrator. Neihart ore, chosen for investigation in this work, is one of the custom ores treated at that mill. Practice at Timber Butte mill in February, 1928, was as follows: A combined lead-zinc concentrate was first made using 0.2 lb. per ton on the ore of potassium xanthate and 0.03 lb. per ton of Cleveland Cliffs oil after 1.5 lb. per ton of lime and 1 lb. per ton of calcium chloride has been added just before the ball mill. The concentrate was then thickened to 70 per cent. solids. Potassium cyanide to the amount of 0.3 lb. per ton and zinc sulfate in the quantity of 0.5 lb. per ton were added to the thickened pulp and the whole

Jan 1, 1929

By Anthony Anable

HOOVER DAM, rapidly nearing completion in the Black Canyon of the Colorado River at Boulder City, Nev., taxes the superlatives of the vocabulary to describe. For by all odds, it is the largest construction project of its type ever essayed by man and the plants providing the essential materials of construction are also in a class by themselves not only in size but in advanced design, mechanization, and accurate control. Picture, if you will, the great aggregate plant, as it is called, situated about 4 mi. upstream from the site of

Jan 1, 1934

By John V. Beall

GOING west from Denver on Route 6, the direct road to Grand Junction, one gets the first glimpse of mining a few miles east of Denver near Idaho Springs where the workings of defunct gold mines are visible on the sides of mountains along the highway. One enterprising company is turning a profit by showing tourists through the mine and mill and then selling them gold samples on the way out. We have always known that mining people are ingenious, but this proves it. About five and a half hours fast driving west from Denver brings one to Rifle, Colo., which is the site of the oil shale mine, retorting plant, and refinery of the U. S. Bureau of Mines. As you drive up to the mine, you can see a portal high on the face of the cliff in front of you where the mine surface plant literally hangs by its toenails. Below, the retorting plant and refinery gleam in the sunlight. Up at the mine, Fred Wright will show you how the oil shale is extracted in two benches (a third bench would be used for commercial mining) by the room-and-pillar method. In mining the top level, an underground crew of thirteen men have been able to produce 1500 tons of shale in each eight-hour shift. To do this, the mine is thoroughly mechanized. The mining method is de- scribed in the September issue of Mining Engineering.

Jan 1, 1949

By John V. Beall

Since the U. S. Metals Refining Co. works was established, around the turn of the century, near the town which is now called Carteret, N. J., it has grown to be a major producer of refined copper and the main source of that special brand known as "oxygen-free high-conductivity copper." Owing to the complex metallurgical problems arising from handling a variety of raw materials such as copper concentrate from Matahambre, Cuba, copper and brass scrap from the New York area, and domestic blister copper, the organization is geared from top management down through its 2000 employes to maintain a high degree of flexibility in plant operation. The Company is a subsidiary of The American Metal Co. Charges for the smelter furnaces, one reverberatory furnace and one blast furnace, are made up in. bedding bins so that they may be tailored to the production of a constant grade of blister copper. The reverberatory furnace smelts the .sulphide charge, which may be a blend of ten different materials but principally the Cuban concentrate, and the matte from the process is poured into a converter. This reverberatory is 80 by 20 ft, silica lined with a slag bottom, fired by pulverized coal, and continuously side-charged from the top by bottom-dump cars which keep the side walls covered. It produces a 40 to 50 per cent copper matte. The fuel-charge ratio is 4.35 tons of solid charge per ton of coal. The furnace has a capacity of 10,000 tons of charge per month and produces from 5000 to 6000 tons of slag per month which must be disposed of. About 5000 tons of converter slag is produced monthly and returned molten to the reverberatory furnace. The converter gases go through a spray chamber to a Cottrell precipitator and thence to the flue system. Smoke from the

Jan 1, 1948

By Canada Ernst & Whinney

INTRODUCTION The principal objective of this chapter is to provide guidance in understanding and making effective use of published financial statements of mining companies. Although financial statements only represent a gathering together of information relevant to an enterprise&apos;s financial position and results of operations, they increasingly reflect the complexities of the modern day business environment. In the mining industry, a wide variety of accounting practices have evolved to deal with the unique aspects of the business in the absence of authoritative accounting pronouncements from standard-setting bodies. Given such complexities and divergent practices, financial statements of mining companies are not easily understood and cannot be used effectively as a tool in decision-making without a basic knowledge of fundamental accounting concepts, generally accepted accounting principles and their application in the mining industry. As such, this chapter is not restricted to a discussion of the accounting for the unique aspects of the mining industry. These aspects are dealt with at length but the text also includes a discussion of general accounting concepts and practices which have wide application in the mining industry. Frequent references are made in the text to international practices and to specific rules and requirements of individual countries. In this respect, the scope is restricted to four major mining environments, Canada, the UK, the US and Australia, all of which have made significant contributions to the development of generally accepted accounting principles. Acknowledgements This chapter was prepared under the direction of Ian Murray of Ernst & Whinney in Toronto, Canada. Contributions were received from Graham Butt, Mark O&apos;Sullivan and Dominic Robinson, all from Ernst & Whinney in Toronto and Bill Duvall and Tom Schoenbaechler from Ernst & Whinney in Louisville, Kentucky, US. The authors would also like to acknowledge the assistance received from David Ferguson, Don MacLean, David Taylor and Susan Zoutman from Ernst & Whinney, Toronto, from the UK and Australian practices of Ernst & Whinney and from Ernst & Whinney International. FINANCIAL STATEMENTS - ELEMENTS AND CONCEPTS Financial statements were originally a stewardship report to owners to satisfy them that management had given a proper account of the resources with which it had been entrusted. Today, the number of users of financial statements has expanded to include the following groups: - shareholders, present and prospective; - lenders, present and prospective; - financial analysts; - regulatory authorities; - taxing authorities; - labour unions and employees; and - creditors and customers. The expectations of these user groups differ. For example, investors and lenders require information that will indicate the adequacy of their security and the profitability of the enterprise; taxing authorities will be concerned with the concept of income; labour unions and employees will focus on the profitability of the enterprise. Ground Rules for Preparing Financial Statements Responsibility for Financial Statements Financial statements are the representations of management. This may strike the reader as a rather obvious statement. It is important to remember, however, the role of judgment in accounting. Notwithstanding the promulgation of accounting standards in the developed countries, considerable flexibility remains in the selection of accounting practices and methods and in their presentation. Arguably, there is more flexibility in the mining industry as few countries have developed standards to deal with its unique aspects. Accordingly, financial statements are as much a product of management&apos;s perspective and philosophy as they are a compliance document.

Jan 1, 1985

My predecessor in the office of President of the Institute started a custom of visiting the various local sections, thus obtaining their points . of view and their ideas as to how the Institute can best serve the interests of its members. Exceedingly valuable- exchange of ideas was thus brought about. I am following this custom as far as the limited amount of free time at my disposal will allow me, and I trust that my successor in office will appreciate the benefit to be derived from following the custom thus initiated and will continue the swing around the circle of the local sections. The activities of the Institute are increased by the prestige gained from large numbers and I trust that every member of this local section will consider himself a member of the committee on increase of membership and will see if he is not able during the coming year to gain at least one new member for the Institute. This is a perfectly possible proposition for, although the membership of the Institute is at present approximately seven thousand, I feel sure there are at least seven thousand more men in the United States who are interested in mining, metallurgy or geology from the metal-mining point of view who would make admirable members or associate members of the Institute. The first consideration of the Institute as a body, and of each member as an individual, is to win the war and defeat the Huns. In order to accomplish this, the Institute, as a body, has cooperated with the other national engineering societies and the great bureaus of the Department of the Interior, the United States Geological Survey and the Bureau of Mines in forming committees to study and advise the Government on pressing problems of vital importance.

Jan 5, 1918