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By R. V. Norris

1. INTRODUCTION. THE anthracite coal trade, with a shipment averaging about 70,000,000 tons per year, differs essentially from other coal business, in the fact that the larger sizes, comprising about 65 per cent. of the total, are used almost exclusively for domestic purposes, principally during the winter months; and that for proper combustion close-sizing is imperative, so that eight sizes are made; broken, egg, stove, and nut, known as prepared sizes, and pea, buckwheat, rice, and barley, known as steam sizes. These sizes are made in the regular course of preparation, and but little variation in the natural percentage of each is practicable. Thus it is necessary either to work the collieries intermittently, or to dispose of all the varying sizes in their fixed proportions. Unfortunately, the market does not at all times absorb the coal in proper proportions, and rather than interfere with the regular operation of the mines it has been found economical to provide storage for the excess. While the cellars of the consumers are the great storage-plants of the country, this capacity is not under the control of the trade, except so far as reduced prices during the spring and summer months may tempt the use of this reserve. The same remark applies but with less force to the retail yards, which,, though usually small, store in the aggregate a large amount of anthracite. While every effort is made to utilize to the utmost the individual storage-capacity of the country, there still remains the necessity for taking care of the irregularities of the market by the construction of storage-plants under the direct control of the producers. Such plants are usually the property of the railroads, and are situated at points most convenient from a traffic stand-point.

Jun 1, 1911

By Michael A. Gustafson, Fernando B. Sotelino

INTRODUCTION The degree of success of any new project will ultimately depend on two factors: (i) the underlying economic strength of the project; and (ii) how successfully the parties involved can coordinate their interests to establish a financing structure which indeed capitalizes on the project's inherent economic attractiveness. A project's underlying economic attractiveness is determined by its inherent comparative advantage in accessing the factors of production, combining these factors of production to create a product and marketing this product. Initially, the decision regarding whether to go ahead with the project - the go/no go decision - has to be based on its total ability to generate cash flow returns to project participants to compensate them for resources committed and risks undertaken. The extent to which project sponsors will actually benefit from the project's inherent economic attractiveness is fundamentally dependent on their ability to establish the long-term financing arrangement which best meets the objectives and constraints of each project participant and sources the most advantageous funding. The decision regarding the financing of the project, the "how-to-go" decision, is then an attempt to find the capital structure, consistent with market terms and conditions and sound financial management policies which will best: (i) match planned outflows with cash inflows; and (ii) maximize the return for project sponsors. This article makes use of a case study to illustrate the analytical process involved in dealing with the go/no go and the how-to-go decisions on a project. Though most commonly applied to project finance situations, the guideline described herein is equally applicable to other financing situations, such as leveraged buyouts and debt restructurings, where timely repayment of debt depends largely on the future cash flows to be generated by the entity being financed. Our case study is of a hypothetical expansion of an existing copper mining operation in Latin America. The company, Latin American Copper (LAC) currently has 147 million metric tons of proven sulphide ore reserves. The existing mine complex consists of an open pit mining operation and a conventional flotation plant with a processing capacity of 20,000 metric tons of ore per day. LAC sells copper concentrates primarily to Japanese custom smelters. The mine has been in operation for 5 years, fine copper production last year was 108,240 metric tons, and LAC currently has assets of $175 million and net worth of $135 million. Due to a recent increase in proven reserves, LAC is considering doubling the treatment capacity of its flotation plant to 40,000 tons per day, and expanding its mining capacity to meet the additional concentrator capacity (the "Project"). Project capital expenditures and incremental working capital have been estimated at approximately $210 million. The construction period is expected to cover one year, including a three-month start-up phase. The Project is to be funded by a combination of equity, senior debt, including both supplier credits and/or commercial bank term loans, and subordinated debt. LAC's shareholders are willing to commit a maximum of $50 million to the Project. A government development agency, which is also a minority shareholder, might be willing to lend approximately $40 million to LAC in the form of subordinated notes, depending on the ability of the Project to generate foreign exchange reserves. Commercial banks cannot be expected to offer loans with maturities longer than ten years. The Project is expected to increase the value of the firm because: (i) It will solidify the Company's position as a low-cost copper producer by taking advantage of economies of scale. As a result of the expansion, cash production costs are expected to decrease 7.0[c]/lb. and all-in costs 11.0[c]/lb; (ii) The potential earnings stream from the sulphide ore reserves will be realized

Jan 1, 1985

By Oliver Bowles

THE ADVERSE CONDITIONS that have gripped industry during recent years have to some extent submerged technical developments under the more pressing demands of economic problems. Progressive operators, nevertheless, have given attention to improvements in processes and equipment even when sales were at a low ebb. The array of facts relating to technical advancement here presented, although doubtless incomplete, is sufficient to indicate that the spirit of inquiry and research has not been quenched by adversity. During the latter part of 1933 a new element has focused interest more fully on improved methods of quarrying, mining, and preparation of nonmetallic minerals. Codes established under the NRA have fixed minimum wages, reduced working hours, and tended to establish selling prices .on a basis of reasonable profit. Labor adjustments will in many instances increase the cost of production, and stabilization of selling prices will tend to emphasize quality and service rather than price as sales arguments. These new conditions point to a growing necessity for improving technique in the interest of reducing cost of production and improving the quality of products. Thus, technology is linked with economics more firmly than ever.

Jan 1, 1934

By Paul F. Kerr

QUARTZ of a certain kind, is one of our strategic minerals, and Brazil is probably the one important available source. Crystals of quartz of suitable size and perfection for piezoelectrical application are rare; their most outstanding use is in radio work. Clear quartz, or "crystal," free from twinning, cracks, foreign particles of other disturbing lines of growth, and gaseous or liquid inclusions, is cut into plates which provide excellent control of frequency in broadcasting. The squares or rectangles are less than a millimeter in thickness and ordinarily on the order of 1 in. along each side. They are cut at definite angles with respect to the axes of the crystal, and ground with opposite surfaces parallel. Each small slab must be a section of one crystal, uniform throughout in atomic alignment. The thickness of the chip controls the frequency of a broadcast and it is most important to have the plates oriented and ground with utmost precision. Opposite surfaces are parallel to within 0.001 mm. and expansion or contraction due to the temperature is limited to one part in a million.

Jan 1, 1942

Jan 1, 1897

By Albert Hill Fay

IN giving a sketch of the geology and mining of the tin-deposits of Cape Prince of Wales, a short description of the geographic and climatic conditions may be of special interest on account of this being a part of the world of which very little is known, even by the reading public. As shown in Fig. 1, the location of the Cape is lat. N. 65° 35' and long. W. 168°. It is bounded on the north by the Arctic ocean ; on the west by Bering strait and on the south by Bering sea. It is the western-most point of the mainland of North America, and to the west, across the strait, one can see East Cape, Siberia, which consists of a rugged, steep coast of granite cliffs. The climatic conditions are of interest because of the part they have had in the surface geology, and also because they affect mining from an economic standpoint. In connection with the climate and geography, it does not seem out of place here to quote a few lines from the prologue of The Wandering Jew, written by Eugene Sue, under the caption '1 The Land's End of Two Worlds."

Sep 1, 1907

By AIME AIME

TEXAS not only produces millions of barrels of petroleum daily, but supplies the oil industry with an asset infinitely more valuable than liquld gold. That asset is leadership. The oil industry was built from its humble beginning a few decades ago into a potent force in world economy by human hands and human brains. One of these great leaders in the busy world of oil is Wallace Pratt, of the Humble company, who has been called to a position as director and member of the executive committee of the Standard Oil of New Jersey. So reads the Houston Post of June 3, 1937.

Jan 1, 1944

By E. P: Mathewson

Discussion of the paper of E. P: Mathewson, presented at the Butte Meeting, August, 1913, and printed in Bulletin No. 78, June, 1913, pp. 1033 to 1037. PROF. JOSEPH W. RICHARDS, South Bethlehem, Pa. :-Speaking to the question of the development of the basic lining, and speaking from a somewhat considerable study of the history of the process, ,I think Mr. Mathewson's conclusion (in the last paragraph. of his paper) is perfectly justified and is very fairly stated. Messrs. Smith and Pierce worked at developing their process for many years ; copper men had been trying their level best to get away from the silica lining of the converters and had uniformly failed. On one page of Mr. Mathewson's paper we read that at the old works of the Anaconda Company, at Anaconda, the experiments " were abandoned on the score of cost and lack of advantages." On the next page, after describing the work of Messrs. Smith and Pierce, we have the statement that the Anaconda Company lined a shell with mangnesite brick and the ?results were excellent." I think Mr. Mathewson's statement that to Smith and Pierce belongs the credit of developing a long-discredited idea, is correct. C. D,. DEMOND, Anaconda, Mont. :-It seems to me that the matter of the lining is important; my impression is that they used tar in their basic lining and that did not seem to be at all successful at Anaconda, but silicate of soda was very successful. MR. RICHARDS :-I did not know that they- had abandoned the use of tar. MR. DEMOND :-I said I thought that was the practice. At Anaconda that was not at all satisfactory in the basic linings. Silicate of soda was very satisfactory and is so.

Jan 11, 1913

By George A. Roche

Investment in growth stocks is the most assured way of achieving superior, long term investment accomplishment. There are many criteria used to select growth companies but the most important is a combination of superior management operating in an industry with above average growth potential. This growth stock approach is the cornerstone of investment strategy for two of the three mutual funds sponsored by the Price organization and for its private clients. However, during the past five years inflation has accelerated due to a variety of factors including the inability of government to meet seemingly unlimited needs with limited revenue sources.

Jan 4, 1972

By AIME AIME

T HE 121st meeting of the Institute held in New York City, February 16 to 19, 1920, was a great success despite vicissitudes of weather of unusual severity. On account of tremendous snowstorms, only two members of the Canadian contingent arrived, and several of our members from the west arrived thirty hours late. Two weeks prior to the meeting, the heaviest snowstorm in 34 years wrecked the surface transportation in New York; and it was only by special dispensation that arrangements were effected, with the New York Street Cleaning Department to clear away 39th street in front of this building so that vehicles could reach the curb. The total registration of members and guests was 1138.

Jan 1, 1920

Prof. A. Ledebur, Freiberg, Saxony :* Mr. Sauveur has presented and enriched with original observations a valuable summary of the theories advanced hitherto concerning the hardening of steel; but in one particular, it seems to me, his statements call for correction. He says:

Jan 1, 1898

By Louis A. Carapella, William E. Shaw

Magnesium and its alloys have long been characterized as possessing limited capacity for mechanical forming at atmospheric temperatures prior to rupturing despite their outstanding performances in this respect at elevated temperatures. Responsible for this behavior are the fundamental facts that these hexagonal-type metals have comparatively few slip elements at low temperatures for any extensive deformation and that, at high temperatures, additional slip elements become operative, thus enhancing greater plasticity under strain. The transitionai point has been set at 2 25°C by Schmidl for single crystals, and at 250°C by Morel1 and Hanawalt² for extruded magnesium metal. In a recent X-ray investigation on poly-crystalline magnesium-alloy sheets, Barrett and Haller3 have revealed that, below the transitional tempelature, the initial plastic deformation proceeds mostly by a twinning action; that, above such a temperature, the action is mostly by slip. The deep-drawing performance of the magnesium + 1.5 pct alloy sheet† over a wide range of temperatures has been investigated by Weber and Vanden Berg,' and their results are presented in Fig I. It should be noted from this work that a maximum drawability of about 25 pct at room temperature has been obtained on this alloy under the conventional deep-drawing operations. For the same alloy, it is now possible to augment the cold drawability to about 40 pct by a process to be disclosed. Hitherto, this value has been obtained only by deep-drawing the alloy at around 230°C. That greater plastic flow is attainable at atmospheric temperatures on magnesium under certain deformational techniques was discovered by the authors6 in their analyses of plastic-deformational behaviors of pure magnesium. This fact is best illustrated in Fig 2 from the Har-greaves analysis6 performed by the authors under two different modes of loading. For direct test, a separate unstrained specimen was used for each load duration, whereas for the integrated test the same specimen was employed for all the five intermittent loadings so that the load duration was made additive throughout the investigation. The higher plastic flow-rate at room temperature, as designated by the Har-greaves constant S, was obtained by the integrated or intermittent loading procedure. The authors6 in further tests showed that, under such a procedure greater plastic flow was also realized with a progressive increase in deformatione 1 loads. These findings have been applicd

Jan 1, 1947

By William E. Shaw, Louis A. Carapella

Magnesium and its alloys have long been characterized as possessing limited capacity for mechanical forming at atmospheric temperatures prior to rupturing despite their outstanding performances in this respect at elevated temperatures. Responsible for this behavior are the fundamental facts that these hexagonal-type metals have comparatively few slip elements at low temperatures for any extensive deformation and that, at high temperatures, additional slip elements become operative, thus enhancing greater plasticity under strain. The transitionai point has been set at 2 25°C by Schmidl for single crystals, and at 250°C by Morel1 and Hanawalt² for extruded magnesium metal. In a recent X-ray investigation on poly-crystalline magnesium-alloy sheets, Barrett and Haller3 have revealed that, below the transitional tempelature, the initial plastic deformation proceeds mostly by a twinning action; that, above such a temperature, the action is mostly by slip. The deep-drawing performance of the magnesium + 1.5 pct alloy sheet† over a wide range of temperatures has been investigated by Weber and Vanden Berg,' and their results are presented in Fig I. It should be noted from this work that a maximum drawability of about 25 pct at room temperature has been obtained on this alloy under the conventional deep-drawing operations. For the same alloy, it is now possible to augment the cold drawability to about 40 pct by a process to be disclosed. Hitherto, this value has been obtained only by deep-drawing the alloy at around 230°C. That greater plastic flow is attainable at atmospheric temperatures on magnesium under certain deformational techniques was discovered by the authors6 in their analyses of plastic-deformational behaviors of pure magnesium. This fact is best illustrated in Fig 2 from the Har-greaves analysis6 performed by the authors under two different modes of loading. For direct test, a separate unstrained specimen was used for each load duration, whereas for the integrated test the same specimen was employed for all the five intermittent loadings so that the load duration was made additive throughout the investigation. The higher plastic flow-rate at room temperature, as designated by the Har-greaves constant S, was obtained by the integrated or intermittent loading procedure. The authors6 in further tests showed that, under such a procedure greater plastic flow was also realized with a progressive increase in deformatione 1 loads. These findings have been applicd

Jan 1, 1947

By T. Sterry Hunt

Jan 1, 1882

By H. B. FERNALD

THE interesting and carefully developed formula which Professor Bucky presents for answering the question of whether proposed new equipment will give a net return on investment equal to or greater than that on present equipment starts with an assumption that the management may make this relative return a determining factor in its decision whether or not the new equipment should be provided. I do not question that in some cases the management may take this position, but I would point out the error involved in so doing. The proper test is not a comparison of the return on new as compared with the return on old investment, but is rather a comparison of the return on a particular new investment as compared with the return which would be obtainable from some other new investment which now might be made. Then I would point out that I believe Professor Bucky is in error in using as a factor in his computations the item of unamortized cost of old investment. The financial advantage to be derived from a new investment does not depend on the extent to which we may in the past have written off the cost of old equipment, nor does it even depend upon what was the original cost of that old equipment. Even the salvage or resale value of the old equipment will only enter into the picture to the extent that the present salvage or resale value differs from the ultimate salvage or resale value otherwise to be obtained, after due allowance for the interest factor.

Jan 1, 1930

By George C. Coupland

Ecstall Mining Limited, a wholly owned subsidiary of Texas Gulf Sulphur Company, is the owner and operator of the Kidd Creek Mine including the concentrator complex located near Timmins, Ontario. Canada, approximately 450 miles north of Toronto. The mine, concentrator and Timmins form a triangular arrangement with a 17-mile rail link connecting the mine and concentrator and both of these facilities 18 and 14 miles respectively by road from Timmins. A core drilling program in the spring of 1964 established the presence of a large massive sulphide orebody which was to become the Kidd Creek Mine. Texas Gulf Sulphur had been conducting an intensive search for base metal in various parts of Northern Ontario and Quebec since 1957. Of several thousand anomalies detected in airborne electromagnetic surveys, several hundred warranted ground inspection, but only one of more than sixty drilled became a commercial orebody, the Kidd Creek Mine. The geophysical exploration work has been well covered in a paper written and presented by Van Donohoo, presently a Vice-President of T.G.S., at the American Mining Congress in San Francisco in October 1969. GEOLOGY The orebody lies within a series of overturned rhyolitic flows and pyroelastics with a major peridotite intrusive to the east. The hangingwall and footwall are composed chiefly of intermediate volcanics, andesite and dacite. The southern end of the orebody appears to terminate abruptly against greywacke while the north end is bifurcated and the structure obscured.

Jan 1, 1970

By Roy P. Full, Robert M. Grantham

Regional structural adjustments in early Tertiary time resulted in the development of the Republic graben, a major down-dropped block that is from 6 to 10 miles in width and more than fifty miles in length. The graben became the center of extensive volcanic activity during Eocene and Oligocene time, resulting in a thick sequence of water-laid tuffaceous sediments, volcanic flows, and associated intrusives. A younger series of sediments, pyroclastics, and flows were deposited in structural depressions within the graben following the period of widespread volcanic activity. The Republic mining district is located along one of the major intragraben structural zones, where continuing subsidence during the period of volcanic activity resulted in an increased thickness of flows and associated flow breccias and pyroclastics. Intrusive masses in part healed early graben-forming faults, but later subsidence reopened old faults and created new fracture zones which later became the control for the gold-quartz veins. Considerable block adjustment along the subsidence area is evidenced by the structural pattern in the mines, and telescoped vein structures indicate north-south compressional stresses and east-west graben-forming tensional stresses prior to and during the emplacement of the veins. The veins, varying from a few feet to more than 50 feet in width, are filled primarily by fine-grained quartz, commonly chalcedonic or porcelain-like in appearance. Finely laminated dark-gray to black concentric banding within the veins generally distinguishes the better-grade ore zones, which contain finely disseminated sulfides and ore minerals that include principally electrum, stephanite, naumannite, and native silver.

Jan 1, 1968

By J. C. Boswell, J. D. Crawford

IN addition to its base-metal and coal mining operations, the United States Smelting Refining and Mining Company has, for the past quarter century, been one of the few large American mining companies interested in dredging. Its activities in this field are confined to gold, and to Alaska, but it is the largest operator in that territory, with twelve huge dredges available to work during the summer on the frozen ancient beach sands at Nome and the gravels of Fairbanks. These operations will be described separately.

Jan 1, 1948

By AIME AIME

FEATURES of the second fall meeting of the Petroleum Division for 1941, held at the Ambassador Hotel, Los Angeles, Oct. 29-30, were the forum on the Paloma Plan on Thursday after- noon, the large attendance from east of the Rockies, and the dinner on Wednesday evening sponsored by the Southern California Section and at which President Suman spoke on the strategic minerals and metals situation. The attendance was large and the technical fare uniformly good ; the presiding officers had the proceedings well in hand at all times and kept things humming. Some- times it was necessary to taper off the discussion because of pressure on time. All this was due to careful groundwork before the respective sessions. These presiding officers deserve citation: L. W. Huebel, Howard Pyle, E. K. Parks, Carlton Beal, E. G. Trostel. R. W. French, Jr., John Dodge, and H. N. Marsh. The Los Angeles local commit- tees and the Southern California Section deserve much credit for the arrangements, which were recognized by suitable resolutions at the end of the meeting.

Jan 1, 1941

By Eugene McAuliffe

THE last obtainable figures of the value of the coal mining investment are those contained in the U. S. Census Reports, from data gathered in 1919. The values shown therein and set forth below cover lands and equipment and do not include distribution and marketing facilities. The working capital necessary to meet pay rolls to purchase material and supplies and workmen's compensation insurance are likewise excluded.

Jan 1, 1926