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By V. C. Rogers

ALTHOUGH surveying at mining properties is fundamentally the same regardless of the method of mining, at Climax, due to the nature of the ground, the policy of advance development work, and extremes in climatic conditions, surveying practice has had to be revised to meet the specialized conditions of this particular type of mining operation. The company's mine is one of the largest underground properties in the United States. It has proved ore reserves of 275,000,000 tons, 60,000,000 tons of which have been broken. To date, 109,000 ft. of development drifting have been driven, as well as 40,926 ft. of development raising, 10,000 ft. of ventilation drifting and raising, 16,000 ft. of exploration drifting, and 206,000 ft. of diamond drilling. Normal production varies between 1.2,000 and 15,000 tons daily. Development work proceeds at a rate of 11/2 tons developed for every ton milled and with a development of 18,000 to 20,000 tons per day, the following crew is required to take care of mine and surface engineering

Jan 1, 1946

Jan 1, 1899

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'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'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's perspective and philosophy as they are a compliance document.

Jan 1, 1985

By D. A. Lyon

Discussion of the paper of DORSEY A. LYON and ROBERT M. KEENEY, presented at the San Francisco meeting, September, 1915, and printed in Bulletin No. 104, August, 1915, pp. 1707 to 1730. LAWRENCE ADDICKS, Douglas, Ariz.-I think papers of this character, while general in, nature, are of particular value and interest, because when we figure on competing with the East in electrometallurgical industries, on account of the cheap power on the Pacific Coast, we have to take two or three things into account. In the first place, power very rarely amounts to more than 20 per cent. of the total cost of an operation, even .though it be electrometallurgical, and I think it is the common opinion among those who are not familiar with those particular industries, that it amounts to more than 50 or 60 per cent. Take copper refining; we may say that it is 15 per cent. of the total cost. In the second place, around New York City, with 100 per cent. load factor and a reasonably large load, say 10,000 kw., we can generate from a certain class of coal 1 kw.-hr. for about 0.3c. I might say, however, that 0.3c. does not include overhead charges, interest on the investment, etc. The third factor we have to consider out here is that any product to be salable, must command a retail market. It would be useless to produce wire bars here on the Pacific Coast because there is no place to roll them. If we were going to establish a copper refinery, that part of its output which goes into wire bars would have to be taken care of by building a rolling mill alongside of it to turn it into wire and finally make a product that is salable. I do not think, however, that Mr. Lyon need have excluded copper refining from his industries. There are perhaps 50,000,000 lb. of copper a month refined in this country on a custom basis. I think the smelting companies would be very glad to build refineries here if conditions warranted it. The recent extensions of the Great Falls refinery and of the Tacoma refinery in the last few months give evidence of that.

Jan 12, 1915

By W. H. Adams

One of the most attractive subjects for technical writers is the gigantic industry of the manufacture of sulphuric acid. This is no doubt, natural when we take into account that it has grown in this country during the past twenty years, from a production of 60,000 tons in the year 1867, to that of nearly 450,000 tons in 1887. We may well excuse much of the literature which but repeats the same old story, as it serves to bring to the public notice, at proper intervals, the hidden resources of our land; and this constant application of essential truths will sooner or later be the means of freeing us from dependence upon the Old World for necessary chemical products. The present increase in manufacture of this acid in the United States is almost wholly from pyrites ores, which we have in unlimited quantities close at hand. The largest consumption of such acid is for treatment of other native products, petroleum, rock-phosphates, etc.; and, considering the knowledge we have gained during the past twenty years, it is safe to say that the industry is but fairly established, and the causes which have operated to place us in our present proud position are but natural incentives for a further growth and an increased consumption of the many other undiscovered or undeveloped resources of our American soi1. In one of his earlier editions Muspratt says: " It would seem that the manufacture of sulphuric acid, though as extensively carried on as any other business, yet seems to be the least understood; and the ignorance of some manufacturers appears to be only equalled by that of writers, who, in their description of the production of this acid, give figures of apparatus, and vaunt as improvements, things which have been exploded for years. It is possible to find in the works of eminent men drawings of apparatus, for the production of sulphuric acid, which never could possibly have worked one day—some, in fact, could never have worked at all."

Jan 1, 1888

By J. B. NEALEY

THE common method of shale mining, drilling, shooting and steam-shovel loading, is fast giving place to a comparatively new method which is purely mechanical. This machine is known as the shale planer and takes a cut from a very large face, 50 ft. or more in height. As shale deposits are usually stratified, the quality varying with the stratification, a very uniform product is obtained with this planer, for its "cut" is across the entire face, vertically. This planer was designed and built some 15 years ago by J. M. Powell, president of the Indiana Drain Tile Co., Brooklyn, Ind. Unevenness in mixing the material from the different layers in the shale deposit of this company was causing considerable fluctuation in the firing- shrinkage and color of the ware produced, thus lowering the quality. Some method of maintaining a uniform proportion was vital and this planer was therefore devised. Its capacity was approximately 175 tons daily: cut, mixed and loaded.

Jan 1, 1929

By John Wellington Finch

WHAT is an engineering opportunity? To the mining .engineer the natural assumption is that the first requisite 'is a mineral deposit, but, of course, it is not so simple as that. There are at various points on the earth really very great mineral deposits which, on account of geographic location, backwardness of the country, or hostility of its natives, are now, and for a long time to come will be, quite valueless. The mining engineer, and for that matter the civil engineer, is more dependent upon the decisions of capital than upon any other factor in his profession. Ordinarily it is to be assumed that money will go to any place where it is clear that an adequate return upon its investment can be secured, but for many years it has not been safe to depend upon this. ' As already stated, there are many places where local conditions are such that mining is not safe to engage in and there are still other places in which conditions have been so aggravated by the Great War and by the social unrest which has upset the Asiatic region that capital is naturally most reluctant to venture, even when engineering data makes the undertaking appear attractive. It will be evident, I. believe, that there are many factors vital to the success of a mining enterprise in some of the remote countries which we do not have to consider in the United States and which do not, in fact, exist here.

Jan 1, 1924

By AIME AIME

TRADITIONALLY, the Annual New York Meetings of the A.I.M.E. cover four days, but the program is growing on each end as well as in the middle, and this year it lasted from 3 p. m., Sunday, Feb. 16, when the Education Division got under way, to 8:40 p. m., Friday the 21st, when a trainload of electrical inspectors, pro tern, got back fro111 the General Electric plant at Schenectady. The meeting has ceased to be a mere three- ring circus: on Wednesday afternoon eight sessions were being held simultaneously in the Engineering Societies Building, if one includes the Woman's Auxiliary, and according to frequent testimony one should include the W. A. as one of the most important units in Institute affairs.

Jan 1, 1936

By Emil-Paul Lorenz

Considered as a whole, the mineral resources of the Turkish Republic (Anatolia) are in their untapped virgin state, and the little development shown is not the result of modern systematic geologic exploration but the continuation of the ancient open-pit mining methods of the Orient. When I came to Turkey in 1924, I found myself confronted by a formidable task because of the lack of preliminary geologic mapping. Today this condition has not essentially changed; less than one per cent of the country is covered by topographic mapping adequate for modern requirements. However, I was able to bring a semblance of order in a presentation of the mineral deposits of this country, by tracing the story of the mineral deposits that showed surface evidence of their existence. At present only the easily discovered mineral deposits of coal, copper, and lead-silver ores are being exploited. In the case of coal, of 3,000,000,000 metric tons available, only 100,000,000 have been mined. The same is also true for copper, lead-silver, and other ores, as shown in Table 1.

Jan 1, 1948

By Charles Hardy

?POWDER METALLURGY? is the production of semiformed or fully formed metal products by compressing metal powders. It had its beginnings in the fabrication of tungsten and molybdenum bars and wire by compression, sintering, and swaging. Powder metallurgy, although still in its infancy with other metals, has shown remarkable progress in recent years. Production of Metal Powders-The first step in any powder-metallurgy process is the production of metal particles of suitable shape and size. Mechanical processes for producing metal powders, as by crushing, stamping, or grinding, are usually not suitable, as the resulting particles may cause laminations and decreased strength in the finished articles. The principal metal powders now in use on a large scale are produced by electrolysis or by reduction of metal oxides by gases.

Jan 1, 1936

By Richard W. Smith

THERE are three distinct varieties of phosphate rock, in Tennessee, known commercially as: (a) the "brown" rock, which is the residual pro- duct of the weathering and natural concentration of certain phosphatic Ordovician limestones; (b) the "blue " rock, which is an unaltered phosphatic stratum of Mississippian or Devonian age; and (c) the "white" rock, which is the result of chemical replacement and deposition. Before 1894, South Carolina and Florida had supplied most of the phosphate of the United States, South Carolina leading until that date and Florida from then until the present time. In December, 1893, the blue phosphate of Tennessee was discovered almost simultaneously on Swan Creek, in Lewis County, by two independent parties-by one as the result of a careful and systematic search for a workable deposit of the long known kidney phosphate, and by the other through mistaking it for a "bloom" of coal. Leases were taken and, with further prospecting disclosing other deposits in the region, the development progressed as rapidly as 'could be expected without railroad transportation

Jan 1, 1924

By Victor R. Cabrera

Expansion of Marcona Mining Co.'s operations in Peru several years ago increased the number of laborors and the variety of required jobs at the Company's facilities. This change made the former wage administration outdated, becoming evident by the increase of inequity grievances which threatened tile Company's good labor relations. Such a situation led Marcona to design a new wage plan based on a thorough job evaluation of all its laborer positions. The iron ore deposits, 15 miles inland from the ports of San Juan and San Nicolas, Peru, supply ore to steelmakers in the U.S., Europe and Japan. Marcona Mining Co. operates the mines under a long-term lease agreement with Peru.

Jan 7, 1964

By Albert Arents

This test is based upon the fact that metallic copper will precipitate gold and silver upoil its surface from acid solutions. Of course, the fact is not new, but its application is probably so. I have used the method with success; it recommends itself by the rapidity and ease with which it may be carried on. An auriferous cyanide solution, if made acid with sulphuric acid and boiled with finely divided, pulverulent, metallic copper, will, within a short time, deposit its gold-content on the copper. Any silver in the solution is also precipitated. If this mixture is now filtered, the filter and contents may at once be subjected to a crucible assay treatment, and its lead buttons cupelled and determined. If, instead of taking cement-copper, or any metallic copperpowder, a solution of bluestone is used after acidification, and a few small pieces of sheet aluminum are added, and the solution boiled until all the copper has come down, the result as to the precipitation of gold and silver is the same. This modification takes more time and attention in boiling. If aluminum has been used, it should go into the crucible with the filter and

Jan 1, 1904

By John Chipman, Donald W. Murphy

RECENT developments in iron alloys containing nitrogen have indicated that this element may exert a considerable influence on the properties of the metal. This influence is not always in an undesirable direction and the indications are that nitrogen should be regarded as an alloying element, the amount of which should be subject to control, rather than as an inherently deleterious impurity. In controlling this element in liquid iron to the best advantage, it is necessary to have a reliable background of fundamental data pertaining to solubilities, rates of solution and chemical reactions of nitrogen in liquid iron. Obviously, the first step in such an investigation is the determination of the solubility of nitrogen in pure iron, and this has been the object of the experiments described in this paper. The solubility of nitrogen in solid iron has been measured by Zurich,1 Sieverts,2 Martin,3 and Iwasé4 and, the agreement among the first three inspires confidence in their results. No accurate determinations of its solubility in liquid iron have been recorded though several investigators have obtained approximate results. Strauss5 was able to introduce 0.03 to 0.04 per cent nitrogen into steel by the action of either ammonia or nitrogen on the liquid metal. This was accomplished by Eilender and

Jan 1, 1935

By Samuel M. Shallcross

The principal function of the Bell limestone mine, of the American Lime & Stone Co., at Bellefonte, Pa., is to supply raw material to the company's modern rotary kiln plant at Bellefonte. Because mining costs are naturally higher than many open quarries with more favorably lying strata, it cannot compete, except to a limited extent, in the markets for road material and fluxing stone. In the broad sense, mining does have an advantage over the average open quarry when the end products are designed for and controlled by process and final inspection for the exacting demands of the industrial and chemical markets. Approximately 80 per cent of the output of the Bell mine is sold in the industrial and chemical markets. And as higher standards are set each year for construction and agricultural work, the remainder of the mine output goes to these two classes. Mining produces more fines than open quarries, and these fines are difficult to market; on the other hand, owing to absence of contaminating clay and impure rock, a greater percentage of the output of a mine is marketable. Because of the great production of fines, rotary kilns for lime burning are necessary when the stone must be mined. In 1921 the American Lime & Stone Co. operated 19 quarries and 72 lime shaft kilns spread over an area of 40 miles between Bellefonte and Altoona, Pa. At that time the lime-production capacity of the 72 kilns amounted to approximately 700 tons per day. After 15 years the company operates three rotary kilns and six shaft kilns, with a combined output of approximately 500 tons of lime per day, concentrated in its single Bellefonte plant (Fig. 1). Its only stone-producing plants are now the limestone mine at Bellefonte and a construction-stone open quarry at Union Furnace, near Tyrone, Pennsylvania. Since the middle of 1922, the management of the American Lime R. Stone Co. has been under the direction and ownership of the Warner Company, of Philadelphia. To the Warner Company's experience, gained through successful operation of lime plants in eastern Pennsylvania for many years, and the successful solution of material-handling problems

Jan 1, 1937

By Scott Turner

AS IN OTHER lines of engineering, progress in mining was influenced during 1931 by the world-wide economic depression. Low-metal prices ? resulted in active efforts to reduce production costs of base-metal mines. Probably the chief factors in reducing costs were the greater efficiency of labor, due to better relations between management and workmen, to the scarcity of jobs, reduced wages in most base-metal mines, and to lower overhead expenses secured by drastic economies. The use of mechanical equipment continued to increase, due to more efficient designs and a better practical understanding of the applicability of such equipment to requirements. With one exception, there were no startling innovations in stoping methods, but there was notable progress in the better adaptation of mining methods. In the United States, no large new base-metal or silver mines came into production during the year. At a number of mines, output was curtailed, and operations were discontinued at several important producers. On the other hand world-wide interest in gold was stimulated, as evidenced by increased output from producing mines, the reopening of some old properties, and intensive prospecting for new deposits. Mining methods at several gold mines in the United States and Canada were modified or changed to obtain a higher extraction of ore or to meet the need for additional support of the mine workings at depth. Permanent record of improvements in mining practices has been made during the year by the Federal Government; the industry thus has available for its use more detailed information than ever before. This work was done through cooperation of the mining companies and their representatives with the United States Bureau of Mines, whereby many papers descriptive of practices and costs at individual mines have been published. The Bureau's program of describing methods and costs at the more important mines (those producing in excess of $100,000 annually) is nearly completed, but papers will be issued concerning such additional mines as may possess particular interest because of novel methods, exceptional conditions or operating results, and others to supplement reports already issued. In this way, an interesting record of the results of changing conditions, or innovations in methods, will be made available.

Jan 1, 1932

By John Chipman

RECENT developments in iron alloys containing nitrogen have indi-cated that this element may exert a considerable influence on the proper-ties of the metal. This influence is not always in an undesirable direction and the indications are that nitrogen should be regarded as an alloying element, the amount of which should be subject to control, rather than as an inherently deleterious impurity. In controlling this element in liquid iron to the best advantage, it is necessary to have a reliable background of fundamental data pertaining to solubilities, rates of solution and chemical reactions of nitrogen in liquid iron. Obviously, the first step in such an investigation is the determination of the solubility of nitrogen in pure iron, and this has been the object of the experiments described in this paper. The solubility of nitrogen in solid iron has been measured by Jurich,1 Sieverts,2 Martin,3 and Iwasé4 and the agreement among the first three inspires confidence in their results. No accurate determinations of its solubility in liquid iron have been recorded though several investigators have obtained approximate results. Strauss5 was able to introduce 0.03 to 0.04 per cent nitrogen into steel by the action of either ammonia or nitrogen on the liquid metal. This was accomplished by Eilender and

Jan 1, 1935

By Georgc E. Collins

SEVERAL years ago, I estimated the total stock of gold in the world to be about a thousand million ounces, of which rather over one-third was available for monetary uses. Robert H. Ridgway has estimated the world's production from 1493 to 1927 as slightly over this amount. Of this total, 1.5 per cent was produced between 1493 and 1850 (before the Californian and Australian goldfields began to flood the world with gold), 331/2 per cent from 1851 to 1900, and 511/2 per cent from 1900 to 1927. Allowing for loss by attrition and permanent consumption in the arts, and for loss of buried treas¬ure, my first-mentioned estimate is perhaps not far from the truth; but my estimate of the monetary stock was certainly too low. Of the total production stated by Rid-way. 28 per cent came from North America. 26.9 per cent from Africa, 1.6.8 per cent from Australasia, 12.4 per cent from South America, and 11.2 per cent from Asia. Excepting that from the African conglomerate beds, the ultimate origin of which is still the subject of controversy, by far the greater part of the total production was derived from alluvials. Weighing all contingencies, it is improbable that any such production as has been made during the last forty years will be repeated in any similar period, if the present price level is maintained. The gold standard today seems firmly established except for temporary digressions. Nevertheless, no well-informed mining engineer will venture to assert the probability that the material for its maintenance throughout future generations can be furnished.

Jan 1, 1932

By W. Lawrence Austin

Jan 1, 1884

By W. S. Tower

STEEL is the basic metal, the main metallic prop of the modern industrial world, a good gage for measuring the state of our complex economy. Any who had doubts on that score should have had them dispelled by the many evidences of public concern over the affairs of the steel industry in recent months. I do not need to relate the various criticisms of the industry, nor the questions about its policies and performance which have come in a rising flood, especially from unthinking and irresponsible sources. But judged from the standpoint of production, or from plans to improve and expand facilities, or from technical progress, the facts about the steel industry are proof of

Jan 1, 1948