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By J. J. Arps

This paper reviews the methods currently in use for estimating primary oil reserves and discusses the principles on which these methods are based. Particular emphasis is placed on how these methods change with the type of information available during the life cycle of an oil property. This paper contains various novel estimating methods and shortcuts heretofore unpublished. INTRODUCTION Estimating oil reserves is one of the most important phases of the work of a petroleum engineer since the solutions to the problems he deals with usually depend on a comparison of the estimated cost in terms of dollars, with the anticipated result in terms of barrels of oil. His recommendations to management regarding the best course of action are therefore normally based on the most favorable balance between these two. Specific engineering problems which require such a knowledge of recoverable oil reserves and a projection of future rates are: [a.] the exploitation and development of an oil reservoir; [b.] the construction of gasoline plants, pipelines and refineries; [c.] the division of ownership in unitized projects; [d.] the price to be paid in case of a sale or purchase of an oil property, and the magnitude of the loan which it will support; [e.] the proper depreciation rate for the investment in oil properties; and [f.] evaluation of the results of an exploration program. This discussion will be confined to the various methods and tools which are currently in use for estimating oil reserves to be obtained during the primary phase of an oil-producing reservoir and for a projection of the future production rates. Reserves which may be obtained by secondary recovery methods or fluid injection programs and gas and gas condensate reserves will not be discussed in this paper. Unfortunately, reliable oil reserve figures are most urgently needed during the early stages when only a minimum amount of information is available. Management's interest in the oil recovery from a property—aside from its use for accounting purposes—usually declines when the property approaches its economic limit, just at the time when the reliability of the estimates is at its best. To illustrate this general idea a chart is presented (Fig. 1) showing the three periods in the life of an imaginary oil property. Time is shown on the horizontal axis, while the cumulative production and estimated ultimate recovery are plotted vertically. No particular units are used and this schematical chart is not to scale. During the first period, before any wells are drilled on a property, any estimates will of necessity be of a very general nature, based on experience from similar pools or wells in the same area, and usually expressed in barrels per acre. This will

Jan 1, 1957

By Edward H. Robie

AT a recent meeting of the AIME Board there was considerable discussion of a suggestion that companies should be more interested in promoting AIME membership among their employes. The advocate of this idea argued that companies benefit greatly if their employes are active AIME members, so even on purely a selfish basis they should use various means to encourage membership. Also he argued that companies in general make no contribution to the support of the AIMS although benefiting from its work, so should not object to making more of a contribution, financial or otherwise, than they do. One Director stated that an investigation had developed the fact that a large majority of members felt it unwise for employers to pay the initiation fees or dues of employes. They felt that AIMS membership should be on a purely personal basis; that the rewards of active membership were sufficient so that it is a good investment for a man in developing his own professional stature, presumably resulting in an increase in salary sooner, or in greater amount, than would otherwise be the case. If an employer paid a member's dues or initiation fee the member would take less interest in the Institute. But this Director felt that an employer should otherwise encourage his employes to join the Institute, attend its meetings, and write papers based on company work for presentation and publication. Another Director reported that his company pays the expenses of AIME members in its employ to meetings; the company also encourages nonmembers to attend AIME meetings but does not pay their expenses unless they present papers of interest to the company. Another Director, representing a supplier, stated that his company's policy was to send some of its staff to all AIME meetings at which papers of interest were to be presented or at which valuable contacts could be made.

Jan 1, 1952

By C. E. Lesher

COAL has been fighting a rear-guard action since the last World War. The battle against competitive fuels has been largely guerilla warfare with more sniping within the ranks than of organized opposition. Oil and natural gas are the fuels that over these twenty odd years have driven coal backward and out of many profitable markets. Now, somewhat timidly, the coal industry is trying a new weapon; namely, Research, or let us more properly say, Organized Research. Engineers have been designing this weapon for many years, supported by those interested in coal, including some coal producers. A part of this pioneer work has been Fundamental Research, the Ph.D. kind that is over the heads .of most of us. Another part has been aimed at immediate objectives and realizable profits, the practical, man-in-the-street sort. That is Industrial Research. Enough has been accomplished to make a fair exhibit, but whether this new weapon will have sufficient fire power to rout the opposition, whether the industry will really go into production and use it, the next few years will tell. NEED FOR COAL RESEARCH To utter "Research" is to use the modern magic word; to conjure up the miraculous-rubber from weeds; radar; magnesium from sea water; yes, even gasoline from coal. Research is a very general term. It means something different to every man. What is the coal industry seeking with its research; or what should it seek? And, specifically, how is it going about the job; and is it taking the best way? There are many who say that Coal has been asleep at the switch, while Oil and Gas have been taking the energy business. In an organized way this is true. Large-scale, privately financed research is just started in the Pennsylvania, anthracite industry, and it is still a dream for bituminous coal. What has been done so far collectively is purely defensive; as, for instance, to improve mechanical devices for burning coal so as to be able to recover markets for house-heating fuel long since abandoned to oil and gas. To appreciate just how seriously bituminous coal has slipped back in the national economy in the past 25 years, one has only to recall that, in the last war the Navy required for its operations all the high-grade, low-volatile coal that could be produced, and that anthracite was withdrawn from the middle and northwest markets to keep the eastern seaboard warm. All coal was "rationed" by zones, if not to individuals. Now the Navy, the Armed forces and the Merchant Marine are propelled by oil and gasoline. Gasoline and heating oil are rationed to individuals. Production of all coal in this country in 1918 reached the historic figure of 678,200, 000 tons, and in 1943, after 25 years, it is expected to reach a special wartime total of 660,000,000 tons. Meanwhile, production of crude oil this year may exceed 1,500,000,000 bbl., and like that of natural gas, reach four times the amount produced in 1918.

Jan 1, 1944

By Owen Rice

CHANGES in coke hardness affect the working of the blast furnace, for soft coke is an obstacle to proper furnace operation. Soft coke is due to a low hydrogen-oxygen ratio in the coal charged; increasing this ratio increases the hardness of the coke. The best means of determining the hardness of coke is the combined tumbler and ball-mill. Soft coke is a great hindrance to proper blast-furnace operation and changes in coke hardness affect the working of the furnace. The best method of determining the hardness of coke is by using a combination tumbler-ball-mill. Soft coke is due to a low hydrogen-oxygen ratio in the coal charged. An increase of this ratio improves the hardness of the resulting coke. WHAT IS GOOD COKE? It is not always appreciated that the correct answer may be such a reliable forecast to the physical condition of the blast furnace, and incidentally its entire operation, that among the ordinary variations in other raw materials and also in operating conditions, it assumes a position of primary significance. Inasmuch as coke forms two-thirds of the total bulk of material charged, this assertion will not seem exaggerated, and in the subsequent discussion its applicability will be presented. Coke is the ideal blast-furnace fuel because it is strong and hard enough to resist the crushing and grinding effects of the furnace burden, and its porosity allows the ready passage of gas upward through the charge, and rapid combustion before the tuyeres. Coke deprived of its strength and with a cell structure physically frail and chemically susceptible to solution by carbon dioxide, has its chief asset eliminated. When the melting zones are approached the fluid cinder trickling toward the hearth will envelope the small pieces of coke and form a sticky mass that will retard the free passage of gas. Blast pressure will then rise, driving

Jan 1, 1921

By Robert Bell

The regions to which this paper refers include the whole of the Dominion of Canada east of the 130 Rocky Mountains and north of the water-shed of the St. Lawrence. Very little exploration for economic minerals has yet been done in this immense country; but that little has already served to indicate great wealth in some localities. Having been engaged for a number of years in conducting government geological explorations in these vast territories, I shall endeavor to give the members of the Institute an idea of the prospective mineral resources of almost half a continent, as far as they are yet discernible. I purpose confining my observations to the economic minerals, and will not attempt a description of the geology of these territories; hut it will be necessary to say a few words about the rocks in order the better to explain the distribution of such minerals. The Laurentian nucleus of the continent is the principal feature of the geological map of the Dominion. It stretches from Lake Superior to Baffin's Bay, and from Great Bear Lake to the Straits of Belle Isle. Hudson's Bay itself, which is half the size of the Mediterranean Sea of the old world, lies in the center of this area. Its shores are bordered in places with newer rocks. On the west side of James' Bay (its southern prololigation) these extend inland over 200 miles, and consist of fossiliferous Devonian and Silurian strata. On the western and northwestern side of Hudson's Bay proper, altered rocks are met with, some of which resemble the gold-bearing strata of Nora Scotia, some the Huronian of Lake Huron, some the older Huronian, and others the crystalline series of the neighborhood of Sherbrooke in the Province of Quebec. Along the east coast (called the Eastmain)and among the islands lying off it, there is an interesting set of volcanic and sedimentary rocks which appears to be identical with the Animikie and the Nipigon series of Lake Superior. The area which I have characterized in a general way as Laurentian, includes tracts and belts, more or less extensive, of the Huronian series. Such areas appear to be most common, and have been best explored, in the country between the Great Lakes and Hudson's Bay.

Jan 1, 1886

By Thomas T., Read

IN this survey of the progressive development (of education for the mineral industries throughout the United States, the review of .the history of each school has usually been completed wherever it is first mentioned, but the history of the schools in the cities of the eastern seaboard was not carried beyond 1870. It is necessary now to cover what happened during the period of approximately the last quarter of the nineteenth century in several of the schools in the east. Philadelphia Of Philadelphia, it has been related in chapter 4 that the Polytechnic College of Pennsylvania began offering a curriculum leading to the B.S. in mining in 1853; that the school did not prosper, and finally closed about 1890. The establishment of a Department of Mining, Arts, and Manufactures at the University of Pennsylvania in 1855-56 was also mentioned, but its history was not carried beyond 1860. In 1859 J. Peter Lesley was appointed professor of mining in the University of Pennsylvania. The son of a cabinetmaker, born in Philadelphia Sept. 17, 1819, he had taken his A.B. degree at the University of Pennsylvania in 1838 and then secured a position on the Geological Survey of Pennsylvania under H. D. Rogers. When the Survey was discontinued, in 1841, he went to Princeton to study theology, was ordained a Presbyterian minister and followed that career until 1852, when the Pennsylvania, Geological Survey was again started and he rejoined its staff. He published "A Manual of Coal and its Topography" in 1856, and studied at the École des Mines, Paris, in 1856-57. He published an 800-page "Iron Manufactures Guide" the year that he was appointed to the staff at the University of Pennsylvania. In 1863-64 a College of Agriculture, Mines, Arts and the Mechanic Arts was established, but it was not a separate school

Jan 1, 1941

By Clemens Jones

The peculiar property of the lode-stone has been known for many centuries. It was very early observed that, by contact with it, iron is magnetized; and it is needless to dwell here upon the history allied to this discovery, now constituting the wonderful science of magnetism. Deposits of magnetic ore are distributed all over the world. The ore is sometimes very rich and comparatively free from gangue, sometimes sparsely disseminated in the native rock. These bodies of lean ore often cover large areas. Modern ingenuity has utilized the principle of the magrtet, originally derived from the ore itself, and really belonging to the time of Plato and Theophrastus, to separate the magnetic ore-particles from the rock which has previously been crushed. This process recovers the ore in the state of a concentrate very rich in iron and, in some cases, desirable for Bessemer purposes. The magnetic separator is no longer a novelty. It was only at the last meeting of the Institute in New York, that Messrs. Birkinbine and Edison (Trans., xvii., 728) and Mr. Robert Cook (Ib., 599) described some of' the principal designs of apparatus in use. E. S. Dana classifies the natural magnetic minerals in the following order: magnetite, pyrrhotite, franklinite, almandite and minerals " containing considerable FeO." Of these, ferroso-ferric oxide, or magnetite, is the type. The proportionate amount of ferrous oxide essential to magnetize the compound, is not established. Ferrous oxide appears to be the only magnetic oxide of iron. Tissandier (Compt. Rend., lxxiv., 531) produced ferrous oxide in the anhydrous state, by the action of carbon dioxide on pure iron at a red heat, according to the equation : Fe + CO2 = FeO + CO. This is black, crystalline and magnetic. Heated to redness in the air, it is converted into Fe3O4. Sidot (Compt. Rend., lxvii., 175) has also produced an oxide exhibiting magnetic polarity, by heating ferric oxide to a temperature

Jan 1, 1891

ARTHUR CROWFOOT, Morenci, Ariz. (communication to the Secretary*).-In order to set at rest any doubts in regard to the reasons for selecting the Callow pneumatic flotation process for use in the concentrators of the Arizona Copper Co., Ltd., at Clifton and Morenci, I am presenting the following facts gained from the results of test work carried out on the Callow and Cole-Bergman types of flotation machines at Morenci. Prior to the comparative test of merit between the Callow and Cole-Bergman machines, many months' time and a large amount of money had been expended in the development and testing of the Cole-Bergman machine, and it was necessary to decide quickly what make of machine was best to install. The Callow pneumatic flotation process was recommended for installation in our concentrators for the following reasons: The results indicated: 1. That the Callow system made the highest extraction of copper values from the feed treated. 2. That the Callow system was simpler to operate and could he operated it a lower cost. 3. That the Callow system operated with a lower air pressure. (The question of the actual power consumption of the two types of machines was not definitely settled at this time.) During the official test period the Callow flotation apparatus showed an additional recovery of from 1 to 1.5 lb. of copper per ton more than the Cole-Bergman machine, this difference being maintained by further treatment of the tailing from both machines. The simplicity of the operation of the Callow flotation system is one of its notable features, two operators per shift being able to handle 90 standard cells and blower equipment.

Jan 7, 1917

By AIME AIME

COAL preparation will be the main topic discussed at the first fall meeting of the Coal Division at Pittsburgh, Sept. 11, 12 and 13, though valuation, mergers, safety, stream pollution and other topics will not' be neglected. It is particularly appropriate that the great changes taking place in preparing coal for the market should be discussed at length where in the plants of the Pittsburgh Coal Co. and others the opportunity is afforded to see on a large scale just what is being accomplished. In wartime, the United States broke all records in coal production, but, as the late Franklin K. Lane pointed out, every fifth car shipped consisted of dirt. Obviously that constituted a big bur- den on industry and, in the remaking of the business which is now taking place both in the anthracite and bituminous fields, clean coal has properly enough be- come a watchward. Central coal-cleaning plants are being erected as a part answer to the puzzled inquiry of those familiar with metal mining as to why miners of coal have so long been content with what are relatively small units of production. Gradually big collieries comparable in tonnage output to the biggest copper mines are being built, and excellent examples are to be seen near Pittsburgh. Even the age-long tradition of the coal operator in favor of the single shift is

Jan 1, 1930

The following is an incomplete list of members and guests who called at Institute headquarters between Nov. 10 and Dec. 10, 1917. Harlan H. Bradt, Duluth, Minn. Lt. Geo. H. Morgan. Albert Burch, San Francisco, Cal. F. W. Osborn, Ajo, Ariz. J. A. Daniel, Institute of Mining & Metal- J. C. Ray, 2d Lt., 0. M. C., N. A. lurgy, London. A. E. Ring, Creede, Colo. Martin Fishback, Benson, Ariz. Geo. B. Rodgers, Dobbs Ferry, N. Y. E. L. Foucar, San Francisco, Cal. Forest Rutherford, Pueblo, Colo. I. A. L. Henderson, Institute of Mining & J. G. Scrugham, Reno, Nev. Metallurgy, London. A. F. Shurick, Forest Hills, L. I., N. Y. Jerome A. Hilbert, Santa Monica, Cal. Arthur C. Spencer, Washington, D. C. B. B. Hood, Chrome, N. J. Robert C. Sticht, Mt. Lyell, Tasmania. J. C. Hoyt, Jerome, Ariz. A. Perry Thompson, San Francisco, Cal. A. F. Kennedy, Duluth, Minn. J. B. Tyrrell, Toronto, Canada. Paul S. King, Wilmington, Del. Thor. Warner, Phoenix, Ariz. Alfred C. Levis, Golden, Colo. S. F. Wellman, Cleveland, 0. A. F. Lucas, Washington, D. C. Gardner F. Williams, San Francisco, Cal. B. E. McKechnie, Sharon, Pa. W. G. Woolf, Salt Lake City, Utah.' A. N. Mackay, Barranquilla, Colombia. C. W. Merrill, San Francisco, Cal. P. G. Beckett expects to be located in New York for some time, and may be addressed care of the Phelps, Dodge Corporation at 99 John Street. Corey C. Brayton and E. R. Richards have temporarily closed their San Francisco offices in order to give more time to their operations at Midvale, Utah.

Jan 1, 1918

By AIME AIME

DURING the morning session," on Feb. 17, papers were presented and discussed regarding a recent wire saw installation, cement rock quarry operations, hydration factors in gypsum deposits and the status of the phosphate industry of the West. Oliver Bolvles presided and there were about twenty-five members present. W. M. Weigel's paper (T. P. 262), "The Application of the Wire Saw in Marble Quarrying," was read by the author. He described the recent installation of the St. Clair Marble Co., near Guion, Ark. Since the use of the wire saw for quarrying is comparatively new and the fact that it has been almost entirely limited to slate quarries heretofore, ?he description and data given in this paper were of much interest.

Jan 1, 1930

By Robert S. Moehlman

Is recent years, exploration and development by diamond drilling has become a popular attack on the problem of finding new ore shoots and developing extensions of known shoots. Diamond drilling has been used in recent years in extensive sampling of disseminated copper deposits, in preference to churn drilling. At the Harvard gold mine, near Jamestown, California, Philip R. Bradley, Jr., general superintendent, reports that: "The Harvard work was a singular example of the reliance that can be placed on diamond drilling in evaluating an ore body." Drilling at the Harvard mine will be discussed in a subsequent section of the paper. So popular has diamond drilling become, indeed, that many who have had slight experience with drilling are inclined to regard it as a cheap cure-all. This paper proposes to show some of the limitations on the application of drilling and some of the steps that should be followed in drilling programs to obtain reliable results. Cost oF Drilling Drilling has the advantage, over shaft sinking and drifting, of lower cost and greater speed. As compared with churn drilling, the advantage of bringing up a coherent sample instead of fine cuttings for a sample is obvious. Diamond drilling is generally more expensive, however, and more engineering effort is required in combining the average of core and sludge samples. Exploration of drift walls by hammer drills to a depth of less than 30 ft. is generally cheaper than diamond drilling, but beyond this depth the diamond drill is cheaper and more efficient. The principal factor in determining cost of drilling is the character of the ground drilled. Broken ground with many fissures is most expensive to drill. Hard ground is less of a problem with diamond drills than with ordinary machine drills. Hardness or softness affects only the speed of drilling. Caving, easily washed, sandy or clayey ground requires continual cementing and casing, which is the greatest cost problem. Thus, soft, incompetent ground is more costly to drill than hard, massive ground. Cost of drilling per foot in good to fair ground varies from less than $I per foot, achieved in some districts in Ontario, the Mother Lode, and Missouri, to $5 per foot in many western states. In bad drilling ground, costs may range from $5 to $15 or more per foot, thus approaching the cost of drifting. Other factors that increase the cost per foot are: I. Short total length of hole drilled, so that the cost of moving in crews and equipment must be spread over a relatively few feet. 2. Cost of drilling per foot increases with depth beyond about 500 ft.. as more time is consumed in pulling rods' 3. Cost of preparing drilling stations, getting air underground to stations? etc' 4. Inaccessibility and lack of water on the job make for higher costs.

Jan 1, 1946

By T. M. Morris

The forces acting between a small rod, one end of which was made water repellent, adhering to a much larger air bubble in water were measured. An equation is deduced which correlates these forces and the influence of each force is discussed. The importance of the size of bubbles in a flotation cell is emphasized.

Jan 1, 1950

By John V. Beall

There were no easily identifiable tourists. Everybody carried attaché cases and sported the buttoned-down look in dress. They were all there at the Hotel Indonesia to make a deal. But deals don't come quickly over there and those that staved and persevered became bored. They clung to the air conditioning of the Hotel and sought hobbies to while away the weeks-and even months. It is not an easy life but it can pay off fog sonic company. The government officials are neither stupid nor lazy. They are new at their jobs. Many are ex-army men and they know they must learn before they can enter into a contract with confidence. So they take time, and time is on their side.

Jan 1, 1970

By F. D. Hoyt, H. L. Hartman

The development of new processes and methods by The Pennsylvania State University to improve slate quarrying technology has centered in recent years on cutting and sawing stone in the quarry to eliminate a second cutting process in the mill. Two machines exhibit promise for this work: 1) a circular saw mounting diamonds or hard inserts to produce smaller sizes of stone and 2) a chain saw with insert cutting teeth to produce stone in the larger dimensions. Prototype machines have been constructed and tested in several Pennsylvania slate quarries, and one commercial installation has been operated for several months with a circular diamond saw. Other kinds of dimension stones may be cut by these saws. Research at Penn State has begun to study the fundamental cutting action of rotary tools or saws in slate and other dimension stones. A laboratory drill press is being instrumented to permit thrust-torque-rotational speed us penetration rate studies of single tooth cutting surfaces on stone. Machinability studies of slate conducted with tungsten-carbide inserts have been performed. The dimension stone industry generally accepts the rather basic premise that the larger the block removed from the quarry, the more practical and economical the operation. Thus, the concept of cutting to size any dimension stone while it remains in place in the parent bed would receive little consideration from the majority of members of the industry. However, the slate industry, which is usually considered a separate member of the dimension stone family, is pioneering in the development of an in-place sawing method. Before any final decision can be reached concerning a proposed new system, it is essential to take a long, hard look at the present method of operation in order to determine if the new system is indeed an improvement or even desirable. In the following section is a brief description of present quarry practice in the slate quarries of eastern Pennsylvania. PRESENT METHOD OF QUARRYING SLATE In the numerous slate quarries of Lehigh and Northampton Counties of Pennsylvania, the grain and cleavage of the slate are most often at right angles to each other; if a third surface is broken at right angles to these two natural planes of weakness, blocks of more or less rectangular shape can be separated.' In conventional quarrying a large calyx core drill prepares holes of 36-in. diam in which wire-saw standards are positioned. By wire sawing between strategically located core-drill holes, large sinks or benches of virgin slate are opened up. The sides freed by wire sawing will vary from quarry to quarry but generally are rectangular in shape with dimensions averaging 20 ft in length and about 15 ft in depth. Some quarries are fortunate in having a joint or natural parting to work to, which of course diminishes the amount of core drilling and wire sawing required. Once the various benches have been developed either through wire sawing alone or through a combination of wire sawing and natural jointing planes, the block removal proceeds in the following manner. A plug hole is drilled in the block with a compressed-air hammer and a feathering chisel is inserted in the hole to cause a fracture of the rock either with or against the grain as indicated by the positioning of the so-called feathers. This operation is referred to as sculping. After a block has been freed with and against the grain by means of wedging from the cross fracture with long bars or levers, the block is further freed along the cleavage plane by shimming it up with small wooden pieces in an operation known as styling. A large steel loading chain is wrapped around a block thus freed and the chain is attached to the wheel of an overhead cable. The block is then hoisted vertically to the cableway and moved along this cableway laterally to the lip or edge of the quarry. From here it is unloaded onto a rail car or truck for transportation to the processing mill. Except for occasional blasting to free stubborn blocks,

Jan 1, 1961

Located 19 km (12 miles) north of the Carlin gold mine and 43 km (27 miles) north of Carlin, Nevada, is Carlin Gold Mining Company's Bootstrap mine. This deposit is similar in character to the Carlin ore, except it occurs in the upper plate formation of the Roberts thrust fault rather than in the lower plate rocks. The deposit was discovered over 50 years ago and operated on a small scale in the early 1960s using vat cyanide leaching. Newmont Mining Corporation acquired the property in 1967, and from an open pit mined 650,000 mt (717,000 st) of ore which was trucked to the Carlin conventional cyanide plant. (See Gold and Silver Cyanidation Plant Practice by F. W. McQuiston, Jr. and R. S. Shoemaker, Society of Mining Engineers, AIME, 1975. ) With the same grade of ore, the gold recovery by conventional methods is somewhat lower than that of the Carlin ore, even with a finer grind. Leaching tests were first conducted by the United States Bureau of Mines in 1968; and in 1971, ‘72, Carlin conducted extensive cyanidation investigations by bottle testing, simulated heap leaching in tall columns, and small scale pad heap leaches. Gold extractions ranged from 55% to 95% with low reagent consumptions. In 1974, a 545 mt (600 st) heap leach test was made at Carlin on pit-run low-grade material assaying 1.37 g per mt (0.04 oz per st). In a six week period the extraction of gold was 47.57'0. Carlin uses atomic absorption analyses on cyanide leach liquors to determine potential leach ore grade rather than fire assaying because it gives a more practical assessment of leach recovery than does fire assaying, which accounts for the total gold content. Before open-pit mining was started, plans were made to heap leach, the ore at Bootstrap which was too low grade for transport to Carlin. The topsoil outside of the designed pit area overlaid ancient lakebed clays which were found suitable for compaction to form an impervious base on which the dumps to be leached could be placed. By using the cost of truck haulage and milling at the Carlin plant and the price of gold 'at that time, a cutoff grade was established which resulted in the gold content of the first 150,000 mt (165,000 st) of the heap leaching ore being 1.51 g per mt (0.044 oz per st). An additional 500,000 mt (552,000 st) of lower grade material, assaying 0.96 g per mt (0.028 oz per st), is available for leaching as economics permit.

Jan 1, 1981

By C. E. Lesher

THIS paper reports a study of the reactivity of 950°F and 1650°F cokes as measured by relative rates of reduction of iron oxides at temperatures up to 2200°F. Previous work cited shows general acceptance of the theory that reduction by carbon is a gaseous reaction, and that kind and character of carbon as well as particle size have measurable effect on the velocity of reaction. As will be shown, the data obtained in this study confirm those conclusions. The work was not designed to examine iron oxide reduction equilibrium, but if reaction velocity be defined as the speed with which "a reaction tends to approach conditions of equilibrium," the data here presented may be considered as a study of reaction rates, and the relative degree of reduction to metallic iron as the measure of reactivity. Three standardized combinations of Lake Superior brown iron ore with carbon were tested by similar procedures. One combination was a mechanical mixture of carefully sized high-temperature coke (1650°F) with the ore. The second was a mechanical mixture of the ore with Disco* obtained by carbonizing the identical coal at 950 °F. The third was an agglomerate prepared by carbonizing the coal and ore at 950°F, premixed in proportions to give as nearly as possible the same relative amounts of carbon and ore as the mechanical mixtures. This agglomerate, obtained by heating the finely divided ore (through 30 mesh) with coking coal through the plastic temperature range so as to form solid aggregates, gives a product in which the oxide particles are impregnated with, and intimately bound together with low-temperature coke. The agglomerate-—ore-Disco—was most active in oxide reduction; the mechanical mixtures of Disco and ore next in order, with coke the least reactive. General Discussion: Carbon exists in many forms and it is well known that the form or nature of the carbon used in reduction of oxides is related to the critical temperature of reduction. Sugar carbon, charcoal, and lampblack are forms of carbon that will reduce oxides at lower temperatures than high-temperature coke, and coke will, in turn, give a lower critical reduction temperature than graphite. There have been many investigations of this characteristic of carbons. Johnson' reported a difference of 130°F (70°C) in the critical reduction temperature of zinc oxide as between charcoal 1891 °F (1033°C) and Acheson graphite turnings 2021°F (1105°C) with zinc oxide. Bodenstein2 using charcoal and coke, found a difference of 138°F (77°C) comparing an experimental figure of 2066°F (1130°C) for coke and 1928°F (1053°C) for charcoal, in the reduction of zinc oxide. He concluded that this is very marked and observed that the "type of carbon merely raises or lowers the temperature at which rapid reaction takes place." Comparing the effectiveness of types of carbon in reduction of zinc oxide, it was found that a "brown coal coke" gave 97 pct zinc elimination at 1832°F (1000°C), as compared with 48 pct with "hard coal coke."' A wide range of metallic oxides was studied by Tammann and Sworykin,4 who found that the temperature at which decomposition of oxides begins depends on the nature of the carbon used. Carbon in the form of graphite, lampblack, and sugar carbon was investigated. Sugar charcoal will reduce Fe2O3 to Fe3O4 at 842°F (450°C) as compared with 1112°F (600°C) for coke, according to Meyer." Direct reduction of iron oxides by charcoal begins at 1382°F (750°C), but "first becomes intense" at 1652°F (900°C), whereas with coke, direct reduction begins at 1742°F (950°C), and "first becomes appreciable" at 2012°F (1100°C).6 he total reduction of the sample under certain conditions when heated in a current of CO with charcoal was about 100 pct for limonite and about 77 pct for magnetite. Using coke under the same conditions, the respective percentages were 75 and 47. In a study of processes for sponge iron7 by the Bureau of Mines, the conclusion was reached that a low-temperature char from noncoking subbituminous coal is the most satisfactory solid reducing agent. In a critical study of zinc smelting from a theoretical viewpoint Maier8 concluded that the reduction is by CO, that the reaction between ZnO and CO is intrinsically more rapid than the subsequent reduction of CO2 by C, which is limited by diffusion rates, which in part effectively limits the smelting process. Maier said that the operation is improved with the activity of the reducing carbon. An active carbon, he said, is one maintaining a low CO, content in the retort. Reactivity of Carbon: One form of carbon is more potent in reducing oxides than another. A carbon that reacts faster than another at a given temperature is said to be more reactive. Reactivity is measured by several methods, using carbon dioxide, air, or steam as reactants.9 ebastian and Mayers" have developed a method for the determination of absolute reaction rates between coke and oxygen by a study of ignition points under certain conditions. These and other investigators have established the relative reactivity of types of carbon. Lignite, charcoal, bituminous coal, cokes in the ascending order

Jan 1, 1951

By C. E. Lesher

THIS paper reports a study of the reactivity of 950°F and 1650°F cokes as measured by relative rates of reduction of iron oxides at temperatures up to 2200°F. Previous work cited shows general acceptance of the theory that reduction by carbon is a gaseous reaction, and that kind and character of carbon as well as particle size have measurable effect on the velocity of reaction. As will be shown, the data obtained in this study confirm those conclusions. The work was not designed to examine iron oxide reduction equilibrium, but if reaction velocity be defined as the speed with which "a reaction tends to approach conditions of equilibrium," the data here presented may be considered as a study of reaction rates, and the relative degree of reduction to metallic iron as the measure of reactivity. Three standardized combinations of Lake Superior brown iron ore with carbon were tested by similar procedures. One combination was a mechanical mixture of carefully sized high-temperature coke (1650°F) with the ore. The second was a mechanical mixture of the ore with Disco* obtained by carbonizing the identical coal at 950 °F. The third was an agglomerate prepared by carbonizing the coal and ore at 950°F, premixed in proportions to give as nearly as possible the same relative amounts of carbon and ore as the mechanical mixtures. This agglomerate, obtained by heating the finely divided ore (through 30 mesh) with coking coal through the plastic temperature range so as to form solid aggregates, gives a product in which the oxide particles are impregnated with, and intimately bound together with low-temperature coke. The agglomerate-—ore-Disco—was most active in oxide reduction; the mechanical mixtures of Disco and ore next in order, with coke the least reactive. General Discussion: Carbon exists in many forms and it is well known that the form or nature of the carbon used in reduction of oxides is related to the critical temperature of reduction. Sugar carbon, charcoal, and lampblack are forms of carbon that will reduce oxides at lower temperatures than high-temperature coke, and coke will, in turn, give a lower critical reduction temperature than graphite. There have been many investigations of this characteristic of carbons. Johnson' reported a difference of 130°F (70°C) in the critical reduction temperature of zinc oxide as between charcoal 1891 °F (1033°C) and Acheson graphite turnings 2021°F (1105°C) with zinc oxide. Bodenstein2 using charcoal and coke, found a difference of 138°F (77°C) comparing an experimental figure of 2066°F (1130°C) for coke and 1928°F (1053°C) for charcoal, in the reduction of zinc oxide. He concluded that this is very marked and observed that the "type of carbon merely raises or lowers the temperature at which rapid reaction takes place." Comparing the effectiveness of types of carbon in reduction of zinc oxide, it was found that a "brown coal coke" gave 97 pct zinc elimination at 1832°F (1000°C), as compared with 48 pct with "hard coal coke."' A wide range of metallic oxides was studied by Tammann and Sworykin,4 who found that the temperature at which decomposition of oxides begins depends on the nature of the carbon used. Carbon in the form of graphite, lampblack, and sugar carbon was investigated. Sugar charcoal will reduce Fe2O3 to Fe3O4 at 842°F (450°C) as compared with 1112°F (600°C) for coke, according to Meyer." Direct reduction of iron oxides by charcoal begins at 1382°F (750°C), but "first becomes intense" at 1652°F (900°C), whereas with coke, direct reduction begins at 1742°F (950°C), and "first becomes appreciable" at 2012°F (1100°C).6 he total reduction of the sample under certain conditions when heated in a current of CO with charcoal was about 100 pct for limonite and about 77 pct for magnetite. Using coke under the same conditions, the respective percentages were 75 and 47. In a study of processes for sponge iron7 by the Bureau of Mines, the conclusion was reached that a low-temperature char from noncoking subbituminous coal is the most satisfactory solid reducing agent. In a critical study of zinc smelting from a theoretical viewpoint Maier8 concluded that the reduction is by CO, that the reaction between ZnO and CO is intrinsically more rapid than the subsequent reduction of CO2 by C, which is limited by diffusion rates, which in part effectively limits the smelting process. Maier said that the operation is improved with the activity of the reducing carbon. An active carbon, he said, is one maintaining a low CO, content in the retort. Reactivity of Carbon: One form of carbon is more potent in reducing oxides than another. A carbon that reacts faster than another at a given temperature is said to be more reactive. Reactivity is measured by several methods, using carbon dioxide, air, or steam as reactants.9 ebastian and Mayers" have developed a method for the determination of absolute reaction rates between coke and oxygen by a study of ignition points under certain conditions. These and other investigators have established the relative reactivity of types of carbon. Lignite, charcoal, bituminous coal, cokes in the ascending order

Jan 1, 1951

By Bruno Nordberg

THE high cost of coal in Butte and the development of large amounts of cheap electric power from the Missouri river caused the Anaconda Copper Mining Co. in 1908 to make an investigation as to the possibility of adapting this cheap electric power for the operation of their many large hoisting plants. At this time electric power had already been adopted for practically all other power purposes around the mines, such as pumping, compressing air, etc. The map (Fig. 1) shows the location of the mines of the Butte mining district. These mines are located within a circle of approximately a 1-mile

Jan 9, 1913

By H. W. Schreiber, G. R. Castle

INTRODUCTION The small mining company faces the dilemma of how to finance the development of its properties. Many of these small companies don't have the financial resources to pay for development costs from their own funds and frequently they do not even have the financial strength to permit them to borrow the money needed for development. A project financing can sometimes be arranged in such a way as to solve this dilemma. A typical project financing will not provide the answer to the "little guy's" problem because most project financings require that the sponsors of the project provide completion undertakings and sometimes other undertakings. These undertakings are often a prerequisite to obtaining financing, and if the sponsor is not financially strong enough to provide the comfort that the lenders require, then the sponsor will have difficulty obtaining financing no matter what undertakings are offered. However, with a little imagination and the right set of circumstances, a project financing can sometimes provide the solution to the small mining company's problem. The Strathcona Sound Project is unusually suited as a case study because the sponsor, Mineral Resources International Limited,(MRI) was able to arrange a project financing for the development of the project even though the lenders probably would not have been willing to loan a similar amount of money direct to MRI based on the full faith and credit of MRI's balance sheet. The way that MRI was able to arrange this financing makes for an interesting story. THE CASE In early 1974, MRI owned 100% of a small to medium sized zinc - lead - silver massive sulfide deposit (Property) located 475 miles north of the Arctic Circle less than two miles from deep water on Strathcona Sound which is a shipping zone in the Canadian Arctic. The Property was situated at a desolate location except for an Eskimo settlement (Arctic Bay) which was about 20 miles west of the Property. In other words, the project required that complete infrastructure would need to be installed in this far northern location. Independent reserve and feasibility studies (Study) had been completed on the Property which confirmed a total of 6,825,000 tons of reserves classified and summarized as shown below on Table I: [ ] These reserves were based on 229 diamond drill holes totalling 58,909 feet and were established on a cut-off grade of 7% zinc and a minimum mining height of seven feet. The overall mining recovery rate was estimated at not less than 85% and not more than 90%. The feasibility study indicated that it would cost an estimated $45,044,000 to develop an underground mine, a concentrator, a town-site, a power plant, storage facility, loading dock, a tailings disposal area and an airstrip on the Property with an annual capacity of 525,000 tons of ore per year. The construction period was expected to take two years and projected capital costs were broken down as set forth below on Table II:

Jan 1, 1985