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By Joseph G. Wargo

An investigation of trends in exploration expenditures for a selected group of mining companies was undertaken for the interval 1968-1971. These trends were compared with financial factors that are associated with various groups of companies and the implications of these trends are indicated. The sample consists of 21 mining companies, of these, 19 are listed on the New York Stock Exchange and 2 are listed on the American Exchange. Twenty are American, one is Canadian. All are fundamentally "mining companies" in that they derive the bulk of their income from the ex- traction, sale, and at times, fabrication of metals from their own mines. This is in contrast to companies which have mineral exploration departments but derive the bulk of their revenues from sources other than mining, such as oil and gas sales. No companies which can be considered strictly as exploration companies are included in the sample. This definition held up in 1968, however, its strict application became more difficult through the years. In 1971, three or four of the companies were changing their character in that they were phasing out of the mining business and deriving a substantial part of their income from activities other than mining.

Jan 5, 1973

By John H. Bassarear, Harold W. Sorstokke

The never ending search for lower unit costs led Pima Min- ing Company's management to study various alternatives shortly after Expansion III was completed. A considerable amount of ore as- saying 0.35% copper had to be moved to maintain mill feed at the desired 0.54 % copper content, which is the overall grade of the ore reserves. Detailed investigations revealed that for a period of 8-10 yr, about 14,000 tpd of 0.30- 0.40% copper ore pass the crusher enroute to the low grade stockpile. This ore is very hard, very clean and has to be mined at a uniform rate. A six month pilot plant run testing autogenous and semi-autogenous grinding gave encouraging results. Since no mining costs need to be charged to the extra tonnage (it had to be mined anyway), the major costs would be against milling. The decision to proceed was made in August 1970. Fluor-Utah was retained as the prime design construction contractor. Ore was put through the new mill on December 29, 1971. By March of 1972 design tonnage

Jan 5, 1973

By George F. Weaton

Mining differs from the ordinary industry in that most industries and enterprises have an indeterminate life, apparently perpetual, and therefore, are not called on to replace the original investment. In mining, however, when the ore bodies are mined out, there is nothing left, The original capital investment must, therefore, be returned to the investor by the time that the profitable life of the mine is ended. When the operating company makes no provisions for perpetuating its life by investing a portion of its earnings in other properties, the usual procedure is to pay the investor, periodically, a dividend sufficiently larger than the risk return on his investment to enable him, if he reinvests this overplus at a safe rate of compound interest, to replace his original capital by the time the mine is exhausted. This overplus constitutes a return of invested capital. In estimating the value of a mining enterprise, the work leading to the final result may be divided into two parts. The first is the examination of the property to determine ore reserves, mining costs and profits, financial requirements and future prospects. Whatever conclusions are reached in this phase of the work depend on the experience, thoroughness and integrity of the examining engineers. The second is the calculations pursuant to the field examination.

Jan 5, 1973

By V. V. Strishkov, Zane E. Murphy, George Markon

Soviet industrial expansion depends on coal as a source of power and raw materials for the USSR's metallurgical and chemical industries. Knowledge of the Soviet Union's coal resources and production outlook is essential for a critical evaluation of the Soviet industrial potential. Although there is considerable literature on the Soviet coal industry, no single source provides an authoritative study of how the coal industry functions and how well it per- formed its job. Soviet reports are singularly lacking in the precise data in terms that are comprehensible to a westerner. It is essential, therefore, to clarify the terms in Soviet parlance. These terms are not comparable to those in common use in the West and are the cause of most inaccurate results. Official Soviet data on labor productivity refer to a limited group of "production workers" while in the West all wage earners are counted. Statistics are based on unprepared or run-of-mine coal, whereas it is customary elsewhere to measure productivity in terms of marketable coal. Thus, many western publications, while diligently and accurately reporting published Soviet data, overstate the case, presenting an exaggerated picture of Soviet progress in coal production and technology. (In terms of Western criteria, there is a three-fold exaggeration of labor productivity.)

Jan 5, 1973

By Clifford C. Hanninen, Allan H. Caverson

Within the past nine years a means for measuring the distance between mine roof and floor was developed at the White Pine mine which yields relevant information utilized in the mining operation. The technique known as "convergence" is an efficient, low cost way for obtaining large quantities of data for predicting roof falls, caving activity and overall mine stability. Since 1964 the activity of convergence measurements has expanded to become a production tool found in all sections of the mine. The program involves four types of activity: 1) monthly measurements in areas known to be active and in sample blocks scattered throughout the mine for a long-term stability study; 2) semi- monthly measurements along vital travel roads, belt drifts and compressor sites; 3) weekly measurements in areas where men are working; 4) daily measurements in pillar-recovery and caving operations.

Jan 5, 1973

By Whitmell J. Smithwick, Charles E. Dandois

The first operating unit of the ring or annular shaft kiln as developed by Mr. Karl Beckenbach of West Germany was rated 185 tpd and was installed in 1962. Today, there are approximately 84 units in operation in Western Europe and Japan. Twenty-one additional units are under construction or on order. Sizes range from approximately 100-330 tpd, however, units of over 500 tons are in the design stage. The ring shaft kiln is a single vertical cylinder to which are attached the required service platforms, combustion chambers, injectors and distribution piping (Fig. 1). Auxiliaries such as recuperator, exhaust fan and dust collector are mounted on the appropriate service platform. The charging pan, feed conveyor, etc., are mounted at the kiln top and at the bottom of the kiln is the silo with a vibrator type discharger. Mounted separately is the required blower for injector air and fan for internal cooling.

Jan 4, 1973

By Christopher Haycocks, J. Richard Lucas

The growth of computer and ground control technology in recent years, combined with an urgent demand for low-cost fossil fuels and mineral resources, has set the stage for full-scale utilization of computers in mine planning. Steeply rising production costs and the need to preserve the environment are placing great demands on engineers to improve their mining efficiencies, which can best be accomplished by applying the full capabilities of the computer. Pressure to develop and perfect programs with an immediate potential for improving mine design, reducing mining costs and extending the viable coal reserves of the country has already come to bear in the form of exploding energy requirements, environmental considerations and the visible limitations of other energy sources.

Jan 4, 1973

By W. J. C. Venter

The use of activated carbon to improve the selectivity in the separation of base metal minerals from bulk concentrates played an important role in the development of separation techniques employed at Tsumeb and Kombat mines. The Kombat mine, owned and operated by Tsumeb Corp. Ltd., is located in the Otavi Valley in the northern part of South West Africa, approximately 213 air miles north of Windhoek and 38 air miles south of Tsumeb, at latitude 19° 43'S and longitude 17º 41'E. The mine is linked to all major centers by both national railroad and tarmac highway systems which pass right through the town. The Otavi Minen- and Eisenbahn-Gesellschaft (OMEG) mined ore on the farm Asis from 1908-1925. Tsumeb Corp. Ltd. acquired the mineral rights in 1947, started diamond drilling in 1954 and commenced mine development in 1960. The mill started production in 1962 when proven ore reserves were 3,378,084 st containing 2.85% Cu and 2.90%Pb. Annual production of 248,411 st was increased in May, 1967 to the rate of 422,990 st, which was still being maintained in 1971, when ore reserves stood at 3,054,701 st of grade 1,91% Cu and 2.5% Pb.

Jan 4, 1973

By Lyman H. Hart

Some of the significant facts that will affect the supply and demand for metals during the next few decades are given in this presentation. This is important because the only hope for intelligent guidance of the national destiny depends upon presenting a consistent and accurate picture of basic problems. The metals problems now fomenting are only slightly less important than those precipitating the energy crisis. Admittedly, it is difficult to generate serious thinking on this subject when the world is enjoying easy access to all metals at modest prices. This is possible because of the current world capacity to overproduce, and United States credit standing, at least up to now, has permitted buying freely on world markets. Although both these vital conditions are subject to change, there is little doubt that if the U.S. financial house is kept in order, we can muddle along for a while on a generally expanding, metalbased economy. But should our credit standing be permitted to collapse, or should there be a tightening of world supplies of metals, the nation would immediately find itself in trouble. Unfortunately, clear signals indicate that both of these conditions are threatening.

Jan 4, 1973

By John V. Beall

Copper production in the. United States in 1972 amounted to 1,658,000 tons according to the USBM. This figure is up over 1971 but falls below 1970 production of 1,719,101 tons. This report is essentially about the status of copper mining operations in the U.S. and is an update and expansion of the report "Southwest Copper-A Position Survey" published in [A=], October 1965. At that time, the trend was toward using larger equipment to mine lower grade ore and toward the expansion of dump leaching practice. That trend continues today but, it is overlain by intensive activity to comply with existing environ¬mental legislation and uncertainty over proposed revisions of venerable laws governing mining. In the U.S. today there is, practically speaking, no excess smelting capacity so that expansion of copper production through the startup of new mines is inhibited. Owners of a large undeveloped orebody would have to decide before going into production whether to sell the concentrates offshore, which has many problems, whether to try one of several unproved chemical processes for producing refined metal from concentrates or embarking on the construction of a traditional pyrometallurgical plant in the face of considerable uncertainty over the pollution standards that eventually must be met. The situation is such that not only is the present rate of U.S. copper production threatened but the ability to meet projected increased demand in the years ahead may have been severely retarded.

Jan 4, 1973

By Paul H. Rydlund

Substantial priming was a considered necessity for proper initiation of ammonium nitrate-fuel oil mixes as ANFO began to carve its niche in the mining industry in the latter fifties. Heavy priming accompanied the introduction of prills and oil to many blasting operations, large charges of high explosives were commonly used at the bottom, top and frequent intervals throughout the column. As the quality of ammonium nitrate improved and operators became more experienced, primer costs began to diminish. Increased experimentation continued with reduced primer costs a main objective. Cast primers were introduced and became accepted as an excellent companion for ANFO. Although the trend toward larger diameter boreholes became increasingly popular, emphasis on lower and lower priming costs continued. A primer was simply required to produce any type of initiation within the ANFO column to be considered adequate. Suddenly ANFO priming had digressed from excessive to marginal. Early experimental data from test site and laboratory indicated that ANFO had a tendency to react inefficiently in the initiation region of the column unless substantially primed. This was evidenced by the presence of unstable reaction rates detected with newly developed detonation velocity measuring equipment. These low order or "transient" velocities were believed to originate because of inadequate primer strength or a primer diameter to column diameter mismatch. However, the nature of this experimental work was generally confined to small diameter column charges detonated in iron pipe simulated bore-holes. It was questionable whether the smaller scale laboratory data was applicable to large 12 1/4 and 15-in. boreholes.

Jan 3, 1973

By A. E. Beasley, Ike McKinney

Scale is a broad term which includes many types of mineral deposits which have limited solubility in water. These mineral components precipitate when combinations of scale-forming cations and anions exceed their solubility. Scale deposits are tightly bound to each other and to the metal surfaces of a water system. Precipitates that do not readily adhere to each other or to metal surfaces are known as sludges. Sludges are easily removed from a system by flushing. For example, a sludge is formed in the internal treatment of boiler waters with orthophosphates where the calcium is purposely precipitated as hydroxyapatite. Calcium phosphate would have a tendency to adhere to the boiler tubes except for the addition of tannins or lignins. These sludge conditioners maintain the precipitated calcium phosphate as a sludge which can be readily removed by boiler blowdown.

Jan 3, 1973

By Charles V. Riley

While the late 1960's are known as the years of the public recognition of impending environmental crises, the 1970's will be known as the decade of public concern for improving the quality of that environment. One of the major environmental concerns is the temporary disturbance resulting from coal surface or open cast mining. Increasing energy demands in the U.S., a doubling of electrical power consumption each decade during the present century and the projected needs for the remainder of the century are indications that coal surface mining as a major extractive industry will continue. Coal and lignite, prime energy resources and extremely abundant in these United States, in the face of seemingly limited gas, oil and uranium reserves, are both destined for expanded future use. Presently some extremely serious technological and environmental problems are associated with the development and use of nuclear power. It is true that the extraction and use of coal as an energy fuel poses disruptive problems for the environment, but the solutions to many of the problems are known or can he solved within a reasonable time framework Certainly our national well-being and continued survival as a free nation within the world community automatically dictate the continued use of the coal resource for energy. Concurrently, those engaged in coal surface mining, with the temporary disturbance of the land and water resources, must also realistically conclude that public concern for maintaining and improving the quality of the environment will not diminish. Although as ecological, economic, social and aesthetic elements of cost-benefits and human desires are more adequately understood, a more rational and reasonable public and governmental attitude hopefully will result.

Jan 3, 1973

By Thomas J. Ferree

The principle mineral concentration practices today can be divided into three basic process categories: magnetic separation, flotation and gravity separation. The basic processes have been in use for many years with only limited changes occurring in equipment design or process technique. In general, equipment and process techniques have been altered only after a need for change has developed. With exceptions for changes necessitated by new environmental laws, most equipment and process improvements have evolved in accordance with the desire to concentrate larger quantities of material at lower costs. The basic result has been the development of larger capacity equipment, to wit: larger flotation cells, larger blast furnaces, larger haulage equipment and larger chemical process equipment. However, there has been practically no changes in the size of spirals, tables, jigs, or-within limits- magnetic separators. (The exception being high-intensity magnetic separators). Consequently, a "new" device has entered the scene which may fill a void in the gravity separation field. It is called a Reichert cone concentrator.

Jan 3, 1973

By Guy T. McBride

The 1970's have been considered a pivotal decade for the mineral industries. Undergraduate mineral engineering education is relevant to this theme; in particular, there are three interrelated problems: 1) The goals, and therefore the course requirements, of the under- graduate curricula are in question; 2) The unit costs of undergraduate education appear excessive to those who bear the charges; and 3) The present social ambience detrimentally affects the work attitudes and career motivation of both prospective and in-course students. Any discussion of these problems must bottom upon recognized national needs for minerals and a technologically sound minerals industry staffed by competent engineers, particularly at the exploration, development and production levels. Fortunately, these needs have been recognized and to some extent quantified, and they are even now under further intensive study by some of the most competent members of society and the profession.

Jan 3, 1973

By Gary E. Melickian

Last year's review was characterized as a year of politics and began an era of legislation. The 1972 review can be similarly characterized, with even more rigid health and safety regulations and environmental legislation. The mining industry should be aware of what's happening in the nuclear power and other fields as a result of the National Environmental Policy Act (NEPA) of 1969, where the environmental impact of most major construction activities are already under close scrutiny. Section 102 of NEPA requires that all federal agencies include a detailed statement on specified environmental conditions as part of every report on proposed actions significantly affecting the quality of the human environment. All such environmental reports must consider the same general conditions: • The environmental impact of the proposed action. • Any adverse environmental effects which cannot be avoided should the proposal be implemented. • Alternatives to the proposed action. • The relationship between local short-term uses of man's environment and the maintenance and enhancement of long-term productivity. • Any irreversible and irretrievable commitments of resources which would be involved in the proposed action should it be implemented.

Jan 2, 1973

By Howard Evans

Moderate but substantive gains were recorded in 1972 in the minerals processing industry. In the area of mill design, a number of large plants under construction during the past two to three years were tuned up and went into production. The application of operating controls has also made some significant strides. Progress here has been made in the areas of on-stream particle size analysis, on-stream x-ray analysis, slurry transportation, tripper control, flotation reagent control and digital control of grinding circuits. The major contributions to improved equipment are coming from smaller specialized equipment makers.

Jan 2, 1973

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Jan 2, 1973

By George R. Eadie

As 1972 slipped through our grasp, coal industry adjustments to health and safety laws, environmental restrictions, rising costs and higher production targets left many mine operators groping for a new grip. The industry adopted a defensive attitude in 1972 as it faced the onslaught of inspectors. With rigid demands for improving safety and instituting environmental programs, the industry worked hard and watched production figures stagger upward while operating costs zoomed. In an effort to determine how to meet the goals that were established for fewer ignitions, fewer accidents, less respirable dust, lower noise levels, fewer law violations, better reclamation, less pollution, lower costs and higher production, industry representatives attended numerous technical meetings.

Jan 2, 1973

By M. E. Wadsworth, P. H. Yu, C. K. Hansen

A study of the rate of dissc5lution of chalcopyrite (CuFeS2) in acidic solutions under oxygen overpressures was carried out by measuring the rate of formation of cupric ions in solution. Effects of temperature, oxygen partial pressure, surface area, and concentration of sulfuric acid were evaluated. A sized batch of chalcopyrite was leached in the temperature range of 125° to 175°C and in the pressure range of 75 to 400 psi of oxygen. In 0.5 N H2SO4 all products of reaction went into solution except for trace amounts of elemental sulfur. The dissolution of chalcopyrite followed linear kinetics and was essentially independent of hydrogen ion concentration for H2S04 concentrations between 0.2 and 0.5 N. The oxygen dependence indicated adsorption approaching limiting values with increasing oxygen pressure. The linear mechanism was explained in terms of steady-state adsorption of oxygen at the chalcopyrite surface followed by a surface reaction. The enthalpy of activation for adsorption of oxygen was found to be approximately 33 kcal per mole. An activation enthalpy of approximately 9 kcal per mole was observed for the surface reaction. Charge transfer reactions are not rate controlling in the process.

Jan 1, 1973